Are we repeating the telecoms crash with AI datacenters?

Hacker NewsWednesday, December 3, 2025 at 11:14:56 AM
NeutralTechnology
  • The ongoing discussion surrounding AI datacenters raises concerns about a potential repeat of the telecoms crash, as significant investments are being made in this sector without clear financial returns. This situation reflects a growing unease among industry experts regarding the sustainability of such expenditures in the face of rising operational costs and market uncertainties.
  • The implications of this trend are particularly critical for companies heavily investing in AI infrastructure, as highlighted by IBM's CEO, who has expressed skepticism about the profitability of these investments. Such sentiments may influence corporate strategies and investor confidence in the AI sector moving forward.
  • This scenario is part of a larger narrative where tech giants are not only amassing resources to counter potential regulations but are also shifting focus from scaling to research and development. As Europe relaxes AI laws, the industry is navigating a complex landscape of innovation, regulation, and ethical considerations, underscoring the need for responsible integration of AI technologies.
— via World Pulse Now AI Editorial System

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