Since ChatGPT’s launch in late 2022, numerous indicators have predicted an AI crash without it materializing, as markets reached record highs. CoreWeave’s stock tumble and surging credit default swaps are reigniting concerns about the viability of trillions of dollars invested in artificial intelligence. According to Gartner, AI data centers need to generate $8.5 trillion in cumulative revenue through 2030 to cover capital spending and financing costs, while available revenues would not exceed $3.6 trillion. Bank of America notes that the current AI boom follows a classic capital cycle, typically ending in disappointment despite the underlying technology meeting expectations. However, Nvidia and other major players continue to back CoreWeave, maintaining that demand remains robust.
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