- 9 days
Let’s see, Anthropic is about a trillion, OpenAI is about a trillion, AMD is about a trillion, SpaceX and Meta are two trillion each, Amazon is 3, Microsoft is 4, Google is 4, Nvidia is almost 6… So something on the magnitude of a $20 trillion bailout?
The USA budget is only a quarter of that. The entire federal budget.
This is going to be fucked, isn’t it?
- 9 days
They’d have to incinerate Social Security, defund every school, let infrastructure rot, and hyper-inflate the dollar into worthlessness just to keep Wall Street’s AI bubble afloat… Which is beyond fucked.
Welcome back to life as a peasant.
Welcome back to life as a peasant.
Which is sort of what their glimpses of post-AI jobs in the future they could actually substantiate suggest. It’s all a big heist from the wealth of the people into the pockets of the wealthiest using the smoke and mirrors of a “democratic” government, fueled by the possibility of them no longer having to placate human societies in any way if AI and robotics becomes advanced enough.
- 9 days
AMD is cash positive. They have 2 billion long term debt but hold 13 billion cash (as of June 2026). Where are your numbers coming from? AMD’s market cap isn’t even quite a trillion and market cap is just last sale price multiplied by total shares.
- 9 days
Numbers are from Wikipedia.
It’s certainly likely that not all of these companies will need a bailout. AMD and NVIDIA sell products that are generally useful and established, but it’s hard to say how much of any of these company’s value is tied into AI hysteria or contracts that will fall through when AI customers go belly-up.
Yes, the bailout price is also not the same as valuation. I don’t think it’s outrageous to think that the coming recession will wipe out $20 trillion from the market, though.
- 9 days
lmao, Klarna says that abroad? They’ve been established here in Sweden for like a decade at this point. Fucking leeches, inserting themselves everywhere. No good tech comes out of Sweden.
- kestrel7_7@lemmy.worldEnglish8 days
TBH I have no idea how it works, but they’re always advertising “get it in 4 no-interest payments from Klarna”
I’ve never used it, I already have a credit card I’m attempting to avoid using 😂
- 8 days
Good! Klarna has become a basic payment processor here. It can be difficult to not use them, even when paying directly.
Like when I had to return a bag of my dogs food, they told me to contact klarna. I was baffled because I paid with a card directly. Had no idea klarna was even involved in the process.
They’re well known for exploiting people. Like we have ads for splitting up payments for fucking fast food using klarna. Ugh! And the CEO is just begging to meet Green Mario. Such a massive cockwomble.
10 daysCapitalize profits
Socialize losses
When things are going great, give everything to the rich … when things eventually go badly, let the poor pay for everything. Why would the world want to hurt or take away the rich man’s wealth?
- 9 days
That was pretty insane yes, but ServiceNow also dropped 30%.
Google dropped about 10% but it was enough to put them back to last years October stock value. No gains this entire year for stock owners at all.
Stocks are feeling dangerous as fuck on report day. I would recommend people to sell before reports in this environment.
Next week we have Apple, Amd and Qualcomm.
- 10 days
Once again, the American middle class, or what’s left of it, will be the ruling class’s personal piggy bank.
AOC and Bernie Sanders are trying to pass laws to prevent bailout of AI.
Should pass right after the 1% get there’s ensuring no one else can succeed after them
We physically cannot bail them out, but it is highly preferable that we not die trying
- Fluffy_Ruffs@lemmy.worldEnglish10 days
Under any other administration I wouldn’t believe such a thing would be a possibility. I can see Trump offering funds in exchange for relabeling products “Super AI”.
- halcyoncmdr@piefed.socialEnglish9 days
The difference is that the banks are actually necessary for the economy to function. And mitigations were put in place to limit that exposure in the future. Mitigations that have been stripped back again in recent years because of billionaire lobbying.
None of the AI companies are necessary for the economy. And the big players that stepped into the quagmire aren’t over leveraged enough to actually be in danger. Only the AI-only companies are in danger. The mega corps like Meta, Microsoft, Google, etc. would be hurt but would survive just fine.
- 9 days
They’re going to try to frame it as a national defense issue; like automotive companies are. My guess is they’d bail out SpaceX/xAI in exchange for personal enrichment if needed.
And the real difference is also that all of those bailouts were fully paid back with interest.
- BooBees@fedinsfw.appEnglish9 days
It’s actually the wealthy that would suffer if it goes tits up, and if things are actually changed to put the nation on a path to recovery. Think about Europe post ww2 and how fucked their infrastructure and economies were and what it took to rebuild within 3 generations to the point they were actually thriving comparatively. That took coming together and reinvesting in society, nations building. The wealthy don’t want to do that. But that’s what it would take to recover and restart the economy, because there is no flow to the bottom 98% anymore. The wealthy would have to willingly reboot it by going back to putting their fair share back into circulation and earmark it for rebuilding.
- ol_capt_joe@piefed.socialEnglish9 days
Guess again.
It was Bush’s policies that created the mess, but (😱) it was Obama who allowed i) the bailouts the happen, ii) the actions to go unpunished, and iii) the system to continue.
https://youtu.be/wb9qikdg3M0&t=14m20s (FD Signifier)
- Sirdubdee@piefed.socialEnglish9 days
I thought Bush signed the TARP law to give bailouts and Obama signed Dodd Frank that cut the amount of the bailout.
- FlexibleToast@lemmy.worldEnglish9 days
They seemed to learn their lesson and changed the strategy in 2020. We saw much faster recovery when we bailed out the people than when we bailed out the businesses.
- Fluffy_Ruffs@lemmy.worldEnglish9 days
For better or worse, big banks are and were the backbone of the economy. AI is not and I think agree should not be.
- 9 days
its considered acceptable to kill someone if they’re trying to rob you. in america its considered rude to not use a gun.
I’m not sure how I feel about this. it usually feels disproportionate, but austerity and centralization have a very real death toll, so maybe it’s not.
- 10 days
Well, it makes it a nice bookend. After all, they got a bunch of taxpayer money to begin with, so it’s only fair they get a bunch more at the end.
(Scummy, corporate welfare arseholes).
- 9 days
damn. maybe everyone involved in robbing us like this shouldn’t be allowed to do that again.
- 9 days
Their IPO’s are already socialising the debt they gathered, right into your stock portfolio/ retirement fund
I can’t see them getting bailed out. That would be political suicide for either party. AI companies aren’t creating jobs, they manufacture nothing (like autos) and they’re not our financial backbone (like banks).
- 10 days
They tech companies themselves likely won’t get a bailout, but don’t rule out the Fed warming up the ol’ money printer. All the borrowing for data centers, where do you think they’re borrowing from. Banks, insurance companies, bond investors and private credit funds. Those first two are the key. If a too-big-to-fail bank or insurance company gets jammed up by their own bad loans to hyperscalers, you best believe they’re going to the Fed, hat in hand, asking for another bowl of that sweet, sweet quantitative easing.
- 10 days
Yeah, my understanding is that once bankers have bet more of other people’s pensions and life-savings than they can cover if they lose the bet, they are in line for a bailout.
In effect, the more catastrophic your bet is, the less personal responsibility you have to take for it.
One of the many hypocrisies and perverse incentives of capitalism.
- 10 days
In effect, the more catastrophic your bet is, the less personal responsibility you have to take for it.
“If you owe the bank $100, that’s your problem. If you owe the bank $100 million, that’s the bank’s problem.”
- 9 days
Needs to add if you owe the bank $1 Billion, then that’s the governments problem.
That’s anything but capitalism. Capitalism says if you fail you die. If that takes other people down, so be it. But bailouts were never supposed to be a thing.
- 10 days
An entire financial industry ruined by bad loans to a single market you say… Wait, I think I’ve seen this one…
Also there could be contagion to the big banks and institutional investors (think pension funds) from the bond sales and the construction loans for the data centers.
- 10 days
What about all the major companies who have scraped their workforce to replace it with AI, so sure that it would pay off. They also can’t afford for AI to go under, so they’ll add to the “please bail us out” for the good of the economy.
Would it still be political suicide if it was bipartisan? They’ll make up a million stupid reasons, unleash their army of bots to promote it, and try the same thing Facebook did in 2016.
- Ensign_Crab@lemmy.worldEnglish9 days
We’ll be told that democrats and republicans both support bailouts, but that we have to support democrats because republicans worse. On a dwindling number of policies democrats never fight for.
- 10 days
Well, at least we can always blame immigrants, poor people, and teachers for the financial collapse, just like last time.
Instead of occupying WS, what you think the chances are someone will test its, or silicon valley’s, degree of combustibility?
- 10 days
I bet they were trying to become too “integrated” to fail.
