The unjustified leap here seems to be talking about Kardashev every requirements with relation to data centers.
Every massive technological leap that have big private buildouts results in massive overbuild. It's the nature of FOMO when a big civilization changing tech gets introduced.
Will AI change everything? Are too many data centers planned? The answer is almost certainly yes to both.
Didn't the overbuild of fiber directly lead to Google buying up dark fiber, and then lighting it up later on to power YouTube? I ran across this when I was trying to figure out why YouTube has no real competitors, and the explanations I ran across were basically “Google has an immense economic advantage because of their control over all this extra bandwidth capacity". I have not further validated that in the couple of years since I read it, but it does make me wonder what excess AI capacity could lead to.
> Didn't the overbuild of fiber directly lead to Google buying up dark fiber, and then lighting it up later
Yes, but the lag there is decade-long, and a bunch of heavily fibre-invested companies went bust before anyone saw the upside.
In the same vein, it's very possible that early movers-and-shakers in the LLM space will overextend and end up bankrupt before LLMs find a long-term profitable niche
Yep, the decade-long timeline about matches what I recall. Agree on the culling that's coming in the AI space as well. Temporal's comment from a couple of days ago about inside vs. outside AI has been thought-provoking as I think about who is going to go bust...
Every massive technological leap that have big private buildouts results in massive overbuild. It's the nature of FOMO when a big civilization changing tech gets introduced.
Will AI change everything? Are too many data centers planned? The answer is almost certainly yes to both.