Broadcom CEO likens AI investors to casino gamblers; Burry amplifies the warning
mkheck · x · 2026-10-12
Broadcom CEO Hock Tan told Bloomberg that many AI investors resemble casino gamblers with little understanding of what they're betting on. He criticized enterprises for "wasting money" on tokens during experimentation, likening it to a kid burning through $10 of arcade tokens in 10 minutes and learning nothing, questioned the long-term economics of money-losing AI labs, said model developers need customers that generate real returns, and warned insufficient capital could become the industry's next constraint. Michael Burry amplified the report with a pointed "Well well well."
More from Companies & People
- ThursdAI: OpenAI drops 722 math papers, Haiku 5.5 hits 10 cents, Meta's new agent protocol — altryne · 2026-10-12
- Claude now leads 26% of Anthropic's model R&D, up from under 1% in February — nathanbenaich · 2026-10-12
- We compared 9 enterprise AI consulting firms: 88% adoption but only 24% of execs see the value — max_gladysh · 2026-10-12
- The only moats left in the AI era: compliance, supply chain ownership, and capital — _AustinCalvert_ · 2026-10-12
- Jay Alammar and Maarten Grootendorst Publish Illustrated Guide to AI Agents After Two Years of Work — MaartenGr · 2026-10-12
- Anthropic's Compute Spree: Ex-Bitcoin Miners IREN, TeraWulf Join $530B Infrastructure Push — tengyanAI · 2026-10-12