Data centers and AI investments are in trouble in USA, mainly due to competition from Chinese AI and its own power shortages. Massive investments do not equate to massive earnings going forward, because using them is expensive and restrictive. Which is why laws are now being enacted to keep out Chinese AI. It is not going to kill off Chinese AI competition for sure, as elsewhere in the Global South usage of Chinese AI is rising. Even USA entities are using Chinese AI for its affordability without being much inferior to those created by investing hundreds of billions. Who will survive is clear to see.
The chips war is beginning to result in backfiring for the USA, Japan and South Korea. China is pushing resources into development of chips, mainly memory chips that Samsung and Hynix dominate today. That is going the way of Internal Combustion Engine cars, shipbuilding and electric and electronic equipment. China's rise in those sectors is not by chance or luck but by intention, and when China resorts to intention, others had better be prepared. But it is their own making trying to strangle China. As they say, necessity is the mother of invention, and no one does it better than China.
Anonymous
2 comments:
Looks like the USA is attempting to create justification to throw under the bus or replace Jensen Huang at Nvidia for his optimistic views regarding China, which is not doing any good to the AI and data center frenzy in the USA. It appears that some investors are suing Huang now. Is that any surprise?
All the accusation of 'a honey trap' set by China could be a fabrication to remove Jensen Huang being a Chinese running a trillion-dollar setup. They need an Anglo-Saxon or maybe an Indian to run Nvidia.
Jensen Huang is a Taiwanese, not a mainland Chinese and unlikely to be close to the CPC, the root cause of all the shadow chasing. China's reply to questions about Jensen Huang being compromised by a mainland Chinese spy as 'unsubstantiated'. No need to elaborate or to deny, as accusations can be further fabricated using witnesses bought with money. That is what the US$300 million a year are for, right?
Just my two cents worth.
The blind leading the blind is working very well. I thought only the rednecks and hillbillies are blinded. It seems the Indians too have caught the blind-eye disease from the USA. They cannot see further than their noses.
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