AI infrastructure's high IRR may push traditional businesses into the abyss by raising capital costs
elonmusk · x · 2026-08-29
Elon Musk shared a prediction that the quick payback periods and extraordinarily high IRR for AI infrastructure, even at monumental scale, will push up the cost of capital. This shift could drive many traditional businesses into failure, even those without obvious direct AI exposure.
More from AGI Musings
- AGI-5 only requires superhuman capability at all work, a crazy low bar — RileyRalmuto · 2026-08-29
- AI should be in the service of humans — sierracatalina · 2026-08-29
- Alex Karp on real enterprise advantage in the AI era — Olivier__OG · 2026-08-29
- AGI definition diluted; cognitive levels met long ago, argues user — RileyRalmuto · 2026-08-29
- Critique of Rationalist AI Safety: Bad Abstractions and Wrong Predictions — sebkrier · 2026-08-29
- DeepMind CEO: AGI likely just a few years away, marking a pivotal historical moment — Ghost_Pilot_MD · 2026-08-29