I think all these datacenters aren't being built for generative AI, they're built for surveillance AI. So yeah, we'll bail them out somehow, most likely through government contracts.
I hadn't thought of that. With all the justified opposition to a traditional bailout, I wonder if the White House will choose a more subtle bailout option.
In the 1950s we were promised a 30 hrs work week and higher wages. Didn't happen. Tech bros are in that same church, different pew. If there are profits to be had, the oligarchs will get tĥem.
The AI bubble is arguably popping already. The top AI and chip companies are engaging in circular financing to each other. Circling the financial drain, so to speak. I've taken what little investment we have and gotten a far away from AI as I can. When it pops, the rest we can hope for is a severe recession. The worst...
In researching for this, I found many financial investment newsletters that suggested divesting from AI. A few echoed what you said - we've already started to see the first signs of fissure.
"This is a crucial discussion. While the pace of progress in narrow Al is real, the conflation with Artificial General Intelligence (AGI) has created a 'story stock' phenomenon. The hype cycle has far outraced both the technology's current capabilities and our frameworks for safe, equitable integration. A correction seems inevitable, but the focus should be on grounding expectations and building resilient infrastructure, not on anticipating a bailout for speculative ventures."
— Comment suggested by DeepSeek (an Al model by DeepSeek)
One thing that helped me understand the limitations of AI was the chief engineer at my company telling us ChatGPT told them to use human engineers because it wasn't smart enough to do what they wanted.
That's great stuff, Joe. The subtle shifting of the AI narrative from 'it's going to cure cancer' to 'it can advise you on what to wear to your cancer diagnosis' is ultimately what will define this period.
The insurer of last resort framing is genius oligarch speak. Altman's positioning AI as everyday utility after promising revolution basically admits the bubble cant sustain itself without normalizing mediocre use cases. The wealth concentration angle is underrated here tho, when top 10% control half of consumer spending, any bubble burst hits way harder. I remember covering SVB and watching Sacks flip from libertarian to bailout-beggar in 48 hours, so the groundwork for Operation Sugar DAddy checks out.
It was remarkable how fast he started begging on twitter for a bailout. The problem with libertarianism is that eventually you run out of other people's money.
Thanks for watching the Fallon interview, so we don't have to!
BTW, someone as rich as Sam Altman sure as hell should have a snazzier wardrobe for TV appearances. WTF dude? I guess ChatGPT isn't helping him with style? Or maybe it is? lmfao
Well here's what ChatGPT said when I asked: "what should sam altman wear to a jimmy fallon show appearance?" I guess he was going with "casual with a purpose." I'm disappointed in ChatGPT!
--
For a Jimmy Fallon show appearance, Sam Altman (or anyone in his shoes) should aim for a look that’s polished, camera-ready, and true to his personal style — balancing smart casual with a bit of Hollywood flair. Here are some great outfit ideas:
🎙 Classic Smart Casual
Blazer + T-shirt combo
A well-fitted navy or charcoal blazer
High-quality neutral T-shirt (white, black, or gray)
Dark tailored jeans or chinos
This is relaxed but still polished for TV.
👔 Elevated Business Casual
Button-down shirt + blazer
Crisp white or light blue shirt
Optional pocket square for a touch of personality
Slim chinos or dark trousers
Leather dress shoes or loafers
🧥 Trendy Cool (but not loud)
Textured jacket (e.g., bomber or suede)
paired with:
Plain shirt
Dark jeans or tailored pants
Clean sneakers or boots
This hits a modern, stylish vibe without feeling overdressed.
👕 Casual with Purpose
If he wants a more laid-back, founder/tech look:
Monochrome or neutral tones
High-quality tee
Dark denim
Minimal sneakers (e.g., clean white leather)
This is comfortable while still camera-appropriate.
✨ Style Tips for TV Appearances
Avoid busy patterns — stripes and tiny checks can cause weird effects on camera.
Solid colors photograph best.
Fit matters — clothes should be tailored but not tight.
Texture is good — wool, knits, and quality cotton add depth on camera.
Subtle accessories — simple watch or minimal bracelet, but nothing flashy.
Footwear matters — even if it’s not on camera, it boosts confidence.
This doesn't sound so different from the Tulip or South Sea Bubbles of centuries ago. Or the dot com bubble of the late 90s, only a LOT bigger than any of those.
Why do we stick with an economic system that is designed to have these booms and busts?
The key to AI's success is full construction of data centers. 90% of all AI investment is going into new construction. There is strong resistance from local communities against new centers. The tech companies have plans for thousands of them. They are buying up land nationwide.
You are basically saying that you want China to own this space.
Also, building more electricity capacity makes prices lower, not higher. Because huge infrastructure makes it cheaper for small loads. We already see this happening in places. Please so even a cursory amount of research.
Also, you clearly have not used these tools or have any idea how they will radically transform disease prevention, cancer treatment, drug trials, and more. Just so, so so ignorant.
Dude you have no idea what you are talking about. It's not even worth a discussion. If you don't understand how this technology will help us discover new medicine and treatments you are as ignorant as trump. Do you even understand how LLMs work?
I think all these datacenters aren't being built for generative AI, they're built for surveillance AI. So yeah, we'll bail them out somehow, most likely through government contracts.
I hadn't thought of that. With all the justified opposition to a traditional bailout, I wonder if the White House will choose a more subtle bailout option.
In the 1950s we were promised a 30 hrs work week and higher wages. Didn't happen. Tech bros are in that same church, different pew. If there are profits to be had, the oligarchs will get tĥem.
Shortening the work week should be our priority. Just as we shortened it once before, doing so will require extraordinary pressure and organization.
The AI bubble is arguably popping already. The top AI and chip companies are engaging in circular financing to each other. Circling the financial drain, so to speak. I've taken what little investment we have and gotten a far away from AI as I can. When it pops, the rest we can hope for is a severe recession. The worst...
In researching for this, I found many financial investment newsletters that suggested divesting from AI. A few echoed what you said - we've already started to see the first signs of fissure.
JFC. The way an AI bailout would radicalize me.
I don't think you're alone. People don't like being lied to. Or slapped in the face.
In a sane world AI would mean increased wages and general prosperity.
Instead, when combined with robotics it will put 60% of the working class out of work.
They won't be able to buy us off with UBI at those levels.
"This is a crucial discussion. While the pace of progress in narrow Al is real, the conflation with Artificial General Intelligence (AGI) has created a 'story stock' phenomenon. The hype cycle has far outraced both the technology's current capabilities and our frameworks for safe, equitable integration. A correction seems inevitable, but the focus should be on grounding expectations and building resilient infrastructure, not on anticipating a bailout for speculative ventures."
— Comment suggested by DeepSeek (an Al model by DeepSeek)
One thing that helped me understand the limitations of AI was the chief engineer at my company telling us ChatGPT told them to use human engineers because it wasn't smart enough to do what they wanted.
That's great stuff, Joe. The subtle shifting of the AI narrative from 'it's going to cure cancer' to 'it can advise you on what to wear to your cancer diagnosis' is ultimately what will define this period.
That's very well put.
The insurer of last resort framing is genius oligarch speak. Altman's positioning AI as everyday utility after promising revolution basically admits the bubble cant sustain itself without normalizing mediocre use cases. The wealth concentration angle is underrated here tho, when top 10% control half of consumer spending, any bubble burst hits way harder. I remember covering SVB and watching Sacks flip from libertarian to bailout-beggar in 48 hours, so the groundwork for Operation Sugar DAddy checks out.
It was remarkable how fast he started begging on twitter for a bailout. The problem with libertarianism is that eventually you run out of other people's money.
Thanks for watching the Fallon interview, so we don't have to!
BTW, someone as rich as Sam Altman sure as hell should have a snazzier wardrobe for TV appearances. WTF dude? I guess ChatGPT isn't helping him with style? Or maybe it is? lmfao
"What should I wear to a televised appearance?" should be the first question he asks.
Well here's what ChatGPT said when I asked: "what should sam altman wear to a jimmy fallon show appearance?" I guess he was going with "casual with a purpose." I'm disappointed in ChatGPT!
--
For a Jimmy Fallon show appearance, Sam Altman (or anyone in his shoes) should aim for a look that’s polished, camera-ready, and true to his personal style — balancing smart casual with a bit of Hollywood flair. Here are some great outfit ideas:
🎙 Classic Smart Casual
Blazer + T-shirt combo
A well-fitted navy or charcoal blazer
High-quality neutral T-shirt (white, black, or gray)
Dark tailored jeans or chinos
This is relaxed but still polished for TV.
👔 Elevated Business Casual
Button-down shirt + blazer
Crisp white or light blue shirt
Optional pocket square for a touch of personality
Slim chinos or dark trousers
Leather dress shoes or loafers
🧥 Trendy Cool (but not loud)
Textured jacket (e.g., bomber or suede)
paired with:
Plain shirt
Dark jeans or tailored pants
Clean sneakers or boots
This hits a modern, stylish vibe without feeling overdressed.
👕 Casual with Purpose
If he wants a more laid-back, founder/tech look:
Monochrome or neutral tones
High-quality tee
Dark denim
Minimal sneakers (e.g., clean white leather)
This is comfortable while still camera-appropriate.
✨ Style Tips for TV Appearances
Avoid busy patterns — stripes and tiny checks can cause weird effects on camera.
Solid colors photograph best.
Fit matters — clothes should be tailored but not tight.
Texture is good — wool, knits, and quality cotton add depth on camera.
Subtle accessories — simple watch or minimal bracelet, but nothing flashy.
Footwear matters — even if it’s not on camera, it boosts confidence.
It's painfully obvious what your priorities are when you criticize somebody's looks.
It's especially hilarious considering how you look lmao.
I'm no Leo, but I'm a solid 7, and I'm comfortable with that.
Great essay, Joe.
Thanks Richard!
This doesn't sound so different from the Tulip or South Sea Bubbles of centuries ago. Or the dot com bubble of the late 90s, only a LOT bigger than any of those.
Why do we stick with an economic system that is designed to have these booms and busts?
The key to AI's success is full construction of data centers. 90% of all AI investment is going into new construction. There is strong resistance from local communities against new centers. The tech companies have plans for thousands of them. They are buying up land nationwide.
The ignorance is astounding here.
You are basically saying that you want China to own this space.
Also, building more electricity capacity makes prices lower, not higher. Because huge infrastructure makes it cheaper for small loads. We already see this happening in places. Please so even a cursory amount of research.
Also, you clearly have not used these tools or have any idea how they will radically transform disease prevention, cancer treatment, drug trials, and more. Just so, so so ignorant.
Explain how AI has improved cancer treatment.
Dude you have no idea what you are talking about. It's not even worth a discussion. If you don't understand how this technology will help us discover new medicine and treatments you are as ignorant as trump. Do you even understand how LLMs work?
What a joke you are.
Darth Vader as “Dr. Vader” man did AI write this piece?
lol. No, just a really tired human.