Morgan Housel

It'll cost trillions and trillions of dollars to build out these data centers that the company is raising money.

whether it's OpenAI or Anthropic or XAI, any of them, they have to be hyperbolic when they're describing it.

They have to.

If they just went out and said, we're creating a technology that's going to be a marginal improvement for a couple of white collar workers, you can't raise $2 trillion on that.

They have to say, this is the technology that ends all technology.

There's no other way that they can do it.

What's also interesting about how expensive it is, is that at least for the chips that they're building, the fundamental inputs in these data centers,

right now have a 12 to 24 month shelf life before they're obsolete.

So not only does it cost trillions of dollars, you got to redo that every couple of years, which means they have to be hyperbolic squared now when they're talking about what they're going to do.

And it's not dissimilar from when you were buying a new laptop in 1995.

It was obsolete by 1996.

So that's very much what they're going through right now.

And so we don't know if it's a bubble, but we know that they have to talk as if there's nothing that comes after AI.

This is it.

The chip obsolescence is a bit of an argument in favor of NVIDIA.

I think part of this is being very careful who you look up to, because a lot of the people who are extremely successful, outsized, huge multibillionaires are successful because they don't think about the world in the same way you and I do.

Some of that is very positive.

They create amazing products, create a lot of wealth for their investors.

Inevitably, with every single one of them, there's going to be parts of the world where they think differently in bad ways.

And so when people have negative views about Elon Musk for his political statements, all that, whatever it might be, like, yeah, this guy's been trying to colonize Mars since he was 25 years old.