AI is Getting Ugly(er)

“How did you go bankrupt? Two ways. Gradually, then suddenly.”

Those words come from an Ernest Hemingway book, The Sun Also Rises, explaining one of the key lessons anyone learns when flirting with debt: things go well until they suddenly don’t.

Almost 100 years to the dot since those words were first written, as the book celebrates its first century on October 22nd, or six days from now, AI is ready to pay homage to the writer at this great milestone by reminding everyone that we have learned nothing.

Has the industry chewed more than it can swallow?

If you want an updated, clear-cut summary of the state of AI, this covers it all without jargon or word-mincing, just data and healthy doses of cynicism.

Hemingway would not be a fan of CoreWeave

Two names explain why people are panicking about AI. And those are CoreWeave and Anthropic, but for very different reasons.

The issue is that they may be confirming investors' two biggest fears: debt and sluggish demand.

What’s interesting about AI’s current situation is that, when you start flirting with debt, things can go well until they don’t, and things can go fatally wrong very quickly. And many companies are…