TechCrunch AIArticle
Cracks are emerging in the AI spending boom
The math is breaking. Big Tech is burning cash on AI capex while foundation model companies show no clear path to revenue that covers the spending. Investors are waking up to the fact that the AI spending boom might have been a capital markets story, not a business story. If you're betting on the infrastructure layer, you need a thesis on how this gets paid for in the next 18 months.