AI Is Not a Product Cycle: Debunking the 'Hidden Excess' Narrative on CapEx

Scobleizer · x · 2026-08-19

This piece refutes the bearish narrative that AI demand is lacking and capacity is excessive. Critics cite Big Tech's $3T commitments for chips and data centers as evidence of impending distress. The author argues this is sloppy analysis: SEC-disclosed obligations are not hidden, and off-balance-sheet items aren't automatically fraud. Future purchase commitments do not equate to current liabilities.

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