Advait Arun

In this discussion, guest Advait Arun, a senior associate at the Center for Public Enterprise and author of 'Bubble or Nothing', unpacks the complex financial dynamics between AI companies and the clean energy sector. He reveals the systemic risks tied to data centers and GPUs, emphasizing refinancing challenges and cash flow issues. Advait also explores the potential fallout from a market correction, the role of private credit, and how big tech might exploit distressed assets while smaller firms face hardships. Ultimately, he raises questions about the sustainability of this intricate landscape.

Advait Arun, a senior associate focused on capital markets, and Sarah Meyers-West, co-executive director of the AI Now Institute, delve into the perilous landscape of AI data centers and financing. They unpack the disconnect between massive investments and meager revenue in AI, questioning if the hype will yield productivity gains. The conversation highlights risks in the complex financing behind data centers, potential bubble bursts, and the societal impacts of AI-driven policies. They also explore innovative solutions and necessary policy reforms to navigate this volatile market.