Don't Get Too Excited About AI Headlines Hype. Here's Why
The Investing for Beginners Podcast - Your Path to Financial Freedom
Lessons From the Dot‑Com Bubble on Backlog Hype
Dave and Andrew compare AI backlog claims to dot‑com-era overordering, warning backlog may not convert to realized revenue.
In this episode, Andrew and Dave discuss current news surrounding AI partnerships and investments, focusing on major deals involving OpenAI, Oracle, AMD, and Nvidia. They analyze the implications of a $400 billion deal between OpenAI and Oracle, expressing concerns about OpenAI's profitability and the feasibility of such large-scale financial commitments.
The conversation also explores how major cloud players like Microsoft, Google, and Amazon are impacted by CapEx spending related to AI growth and cloud infrastructure. They reflect on historical investment trends, technological booms, and the challenges in accurately predicting long-term winners in emerging tech industries. The hosts emphasize cautious optimism and the importance of a diversified investment approach.
00:00 Welcome to Investing for Beginners
00:03 AI Power Plays in the News
00:45 Oracle's $400 Billion Deal with OpenAI
01:18 Concerns About OpenAI's Profitability
01:37 The Role of Oracle in AI Infrastructure
04:05 The Black Box of OpenAI's Financials
04:52 Skepticism Around AI Revenue Projections
08:36 Historical Parallels: The Dot-Com Bubble
12:55 Impact on Major Cloud Players
13:14 Understanding Cloud Hyperscalers
17:20 CapEx Spending and Returns
20:31 Future of AI and Cloud Investments
24:27 Speculation and Caution in AI Investments
32:45 Conclusion and Final Thoughts
Timestamps are generated by artificial intelligence, and are not 100% accurate depending on the platform used for listening.
Today’s show is sponsored by:
Go to SHOPIFY.COM/beginners to start selling with Shopify today.
Squeeze the most out of your Summer with Liquid I.V. Tear. Pour. Live More. Go to LIQUID-IV DOT COM and get 20% off your first order with code INVESTING at checkout.
Leesa has a lineup of beautifully crafted mattresses tailored to how you sleep – without the luxury price tag. Go to Leesa.com, promo code INVESTING for 25% off mattresses PLUS an extra $50 off.
Go to tesbros.com and use code POD15 for 15% off your first order. For our EXCLUSIVE GIVEAWAY, and your chance to win a DIY PPF Full Body Wrap kit tailored to your ride, simply go to this link:
https://station.page/tesbros/contest/theinvestingfor
Have questions? Send them to newsletter@einvestingforbeginners.com
SUBSCRIBE TO THE SHOW
Apple | Spotify | YouTube | Amazon | Tunein
Learn more about your ad choices. Visit megaphone.fm/adchoices
The AI-powered Podcast Player
