Part 10/15:
Concerns about mounting debt are addressed directly. Casado highlights that, contrary to the early 2000s, current investments are not heavily debt-driven. Companies such as Meta are investing billions in AI, supported by their strong cash flows and balance sheets. Although the required growth in AI-generated revenue to justify current investments is high—some estimates suggest trillions in revenue by 2030—these are long-term projections that hinge on sustained technological adoption and market expansion.
He stresses that current AI spending is primarily an internal shift within existing companies, reallocating budgets rather than initiating entirely new, unproven markets. Therefore, the risk of systemic collapse due to speculative excess appears limited.