Travis Hoium

So the margin could potentially get competed away over time.

All right, let's get to the big question that I think we're all asking.

And that's the bubble question, the overspending question.

Lou, I've always heard about bubbles being talked about as, you know what, it's not really a bubble until we start adding debt to the equation.

It's not really a bubble until no one thinks it's a bubble.

It seems like we're there now.

Not only are the hyperscalers now adding debt, you have companies like the Neoclouds that have a ton of debt.

You have Oracle, which now has over $100 billion worth of debt.

They were supposed to be one of the winners of the OpenAI build-out.

There's that debt.

There's that leverage there.

There's also...

you know, plenty of people who don't think this is a bubble.

I think there's a lot of people right now with this amount of spending.

Hey, if these companies are going to keep growing their spending, how can this possibly be a bubble?

Is that a concern?

It's like a who blinks first kind of a scenario.

Well, it's going to be fascinating to see how this plays out because the numbers, even to those of us who follow this on a day-to-day basis, I think are shocking at this point.

When we come back, we're going to talk about some of the downstream impacts of AI and that's causing a SaaS-pocalypse.

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