A critical examination of the AI industry’s financial mechanics, dubbed the “AI Infinite Money Glitch,” is raising alarms among financial analysts and tech critics.
Gordon Johnson, CEO and Founder of GLJ Research, LLC, explicitly warns that the current AI boom is not only a potential “high-tech house of cards” but also an “excuse to eliminate millions of American jobs.”
AI’s Circular, High-Stakes Funding Loop
The “Infinite Money Glitch,” highlighted by Johnson in a recent analysis by Reef Insights, describes a circular flow of tens of billions of dollars between major players like OpenAI, Nvidia Corp. (NASDAQ:NVDA), and Oracle Corp. (NYSE:ORCL).
At its core, cloud computing giant Oracle purchases vast quantities of high-end AI chips (GPUs) from Nvidia and Advanced Micro Devices Inc. (NASDAQ:AMD) to build massive data centers.
OpenAI then commits to long-term contracts with Oracle to rent this computing power for its AI models. Simultaneously, OpenAI also strikes direct deals with chip makers like AMD, even securing stock warrants in exchange for future supply.
Symbiotic Deals Linking OpenAI, Oracle, And Nvidia
“The money flows in a circle,” Reef Insights explains, detailing how Oracle committed to buying $40 billion in NVIDIA chips for an OpenAI data center. This is reciprocated by Nvidia’s plan to invest up to $100 billion in OpenAI, tied to developing significant NVIDIA systems.
AMD similarly benefits, supplying …
Full story available on Benzinga.com
A critical examination of the AI industry’s financial mechanics, dubbed the “AI Infinite Money Glitch,” is raising alarms among financial analysts and tech critics.
Gordon Johnson, CEO and Founder of GLJ Research, LLC, explicitly warns that the current AI boom is not only a potential “high-tech house of cards” but also an “excuse to eliminate millions of American jobs.”
AI’s Circular, High-Stakes Funding Loop
The “Infinite Money Glitch,” highlighted by Johnson in a recent analysis by Reef Insights, describes a circular flow of tens of billions of dollars between major players like OpenAI, Nvidia Corp. (NASDAQ:NVDA), and Oracle Corp. (NYSE:ORCL).
At its core, cloud computing giant Oracle purchases vast quantities of high-end AI chips (GPUs) from Nvidia and Advanced Micro Devices Inc. (NASDAQ:AMD) to build massive data centers.
OpenAI then commits to long-term contracts with Oracle to rent this computing power for its AI models. Simultaneously, OpenAI also strikes direct deals with chip makers like AMD, even securing stock warrants in exchange for future supply.
Symbiotic Deals Linking OpenAI, Oracle, And Nvidia
“The money flows in a circle,” Reef Insights explains, detailing how Oracle committed to buying $40 billion in NVIDIA chips for an OpenAI data center. This is reciprocated by Nvidia’s plan to invest up to $100 billion in OpenAI, tied to developing significant NVIDIA systems.
AMD similarly benefits, supplying …
Full story available on Benzinga.com
A critical examination of the AI industry’s financial mechanics, dubbed the “AI Infinite Money Glitch,” is raising alarms among financial analysts and tech critics.
Gordon Johnson, CEO and Founder of GLJ Research, LLC, explicitly warns that the current AI boom is not only a potential “high-tech house of cards” but also an “excuse to eliminate millions of American jobs.”
AI’s Circular, High-Stakes Funding Loop
The “Infinite Money Glitch,” highlighted by Johnson in a recent analysis by Reef Insights, describes a circular flow of tens of billions of dollars between major players like OpenAI, Nvidia Corp. (NASDAQ:NVDA), and Oracle Corp. (NYSE:ORCL).
At its core, cloud computing giant Oracle purchases vast quantities of high-end AI chips (GPUs) from Nvidia and Advanced Micro Devices Inc. (NASDAQ:AMD) to build massive data centers.
OpenAI then commits to long-term contracts with Oracle to rent this computing power for its AI models. Simultaneously, OpenAI also strikes direct deals with chip makers like AMD, even securing stock warrants in exchange for future supply.
Symbiotic Deals Linking OpenAI, Oracle, And Nvidia
“The money flows in a circle,” Reef Insights explains, detailing how Oracle committed to buying $40 billion in NVIDIA chips for an OpenAI data center. This is reciprocated by Nvidia’s plan to invest up to $100 billion in OpenAI, tied to developing significant NVIDIA systems.
AMD similarly benefits, supplying …Full story available on Benzinga.com Read MoreAMD, Analyst Color, Equities, FDN, FTEC, IGM, IXN, IYW, MAGS, Market Summary, News, NVDA, ORCL, QQQ, QTUM, Sector ETFs, SPY, Broad U.S. Equity ETFs, Futures, Markets, Tech, ETFs, General, FDN, US33733E3027, IGM, US4642875490, IXN, US4642872919, IYW, US4642877215, SPY, US78462F1030, MAGS, IL0010829161, NVDA, US67066G1040, ORCL, US68389X1054, AMD, US0079031078, QQQ, US73935A1043, FTEC, QTUM, Sector ETFs, News, Analyst Color, Equities, Market Summary, Broad U.S. Equity ETFs, Futures, Markets, Tech, ETFs, General, Benzinga Markets
