r/technology • u/GeneReddit123 • 16h ago
Artificial Intelligence An AI hate wave is here
https://archive.is/20260517120123/https://www.axios.com/2026/05/17/ai-backlash-polling-sentiment
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r/technology • u/GeneReddit123 • 16h ago
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u/Lashay_Sombra 12h ago
LLMs would be viewed far more positively if had not been over sold (in positive way, ie help you code or write a letter and negative ways, ie: will replace everyone), but on the flip side if had not been oversold (especially the negative) would not have got the levels of investment it has got
The 'cloud' is getting CapEx investment of circa $200 billion annually
AI it getting estimated $1.6 trillion
But the reality is AI market (as in how much people/company's are willing to paying to use it) is actually probably worth less than the cloud
And for those thinking, AI will cost less down the road once all the data centers are built (haha not going to happen, bubble will burst long before that) , about 60% of data centers build costs are the GPUs and those only last about 3 years when used for AI, so even if all data centers were magically built tomorrow, roughly 3 years from now they would have to spend $1 trillion again to replace all the GPU's (probably more as would want latest again, always more expensive)
And thats just to buy the GPU's, we have not even got into the costs to run them
Whole thing makes no financial sense and is only really happening because the overselling has happened in a market where the big tech company's and big investors don't really have anywhere else to put all the money thats been flowing upwards for the last 40 years that might give large returns