The Other Bubble
Microsoft considered reallocating its US-based server power to GPUs for AI but ultimately scrapped the plan. Big Tech companies, including Microsoft, Google, and Amazon, heavily invest in AI but primarily see underwhelming returns in generative AI applications. The industry's reliance on SaaS and the integration of AI tools, which often add little genuine utility while incurring high costs, highlights a growing desperation to maintain growth amidst a slowing market.