Reddit debate: AI companies' FOMO-driven capex race looks like 'running towards self destruction'
PM_40 · reddit · 2026-10-25
A Reddit post argues AI companies are racing toward self-destruction: investment and spending are staggering while returns are nowhere near proportional. The author attributes the burn to FOMO — each company fears 'the bad guy' (China, or rival firms) reaching AGI first — citing a Google executive's line about rather ceasing to exist than losing the race.
From first principles, traditional investing scales spending with returns, but AI capex is driven by FOMO and a 'summoning the AI god' philosophy, while average people grow tired of AI hype. The post is an opinion piece with no new data, but captures a widely shared sentiment about the capex-returns gap.
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