Is the AI Buildout Propping Up U.S. GDP?

Why SoftBank is the Dallas Cowboys of AI investing

Stacy Revere/Getty ImagesThis post originally appeared in the First Trade newsletter.You can sign up for Business Insider's daily markets newsletter here.Good morning and welcome to First Trade. I'll be hosting a discussion later today about the escalating debate around an AI bubble. First Trade contributor Will Edwards and I will break down both sides, and how to invest, depending on where you come out. Check out the livestream today at 2 p.m. …

When the AI bubble bursts, guess who pays?

For months, Silicon Valley insisted the artificial-intelligence boom wasn’t another government-fueled bubble. Now the same companies are begging Washington for “help” while pretending it isn’t a bailout.Any technology that truly meets consumer demand doesn’t need taxpayer favors to survive and thrive — least of all trillion-dollar corporations. Yet the entire AI buildout depends on subsidies, tax breaks, and cheap credit. The push to cover Ameri…

Jefferies' Brent Thill: CoreWeave setback ‘shows you the danger of the AI trade'

Brent Thill, Jefferies analyst, joins CNBC's 'Money Movers' to discuss his reaction to CoreWeave's most recent quarter, what to make of comments from OpenAI's CFO around the government's engagement with AI buildout, and much more.

Is the AI Buildout Propping Up U.S. GDP?

Quick Read The U.S. economy is receiving a notable boost from artificial intelligence (AI) investment, not just through profits but from massive spending across infrastructure, utilities, and suppliers. Nvidia (NASDAQ: NVDA) and OpenAI are central to the buildout, while companies such as Cisco (NASDAQ: CSCO) and utility providers are benefiting from sustained AI-driven capital expenditures. Analysts compare the current phase of AI infrastruct…

$650 billion in annual revenue required to deliver 10% return on AI buildout investment, J.P. Morgan claims — equivalent to $35 payment from every iPhone user, or $180 from every Netflix subscriber 'in perpetuity'

A J.P. Morgan report says that the AI industry needs to make at least $650 billion annually for investors to get a 10% return on all the money going into it until 2030.