Carrington Clarke

The bit that I have not been able to understand in this AI race is that quite clearly, they can't all win.

Many of them are trying to do exactly the same thing.

And they can't all win.

They are spending so much money in the US that there's actually a flaw under US GDP.

I was talking to Dr. Sally Auld of NAB about this recently.

The outlay, the capital outlay, data centres, technology, building these environments, so much money has been committed and is being put in concrete that US GDP has a floor under it for the next kind of six months to a year.

We know what the minimum is.

is because there's so much being outlaid.

I keep coming back to the fact these are competitors.

They cannot all win.

And at a certain point, some of these things, so much of these valuations are about the future.

Of course they are.

They're about the potential because these are companies that are on the forefront of AI in particular, of technology, of what it could do, what it could unlock.

Some of it won't work out.

Well, Apple famously spent about 10 years building an electric car and then didn't.

These companies do make choices to get into markets or not, depending on the competitive landscape.

I think one of the interesting things about this period compared to different tech booms that we've been through is that a lot of these companies, the majority of them, are making money.

They are tangibly making money.

It is not like we have had in other tech booms

where they're boasting about the fact of how much money they're losing, but the potential is there.