A new report suggests that all three memory manufacturers — Samsung, SK Hynix, and Micron — have collectively sold through their 2027 memory manufacturing capacity to AI companies.
OpenAI is likely to be the first domino to fall that causes the whole bubble to pop. They’re burning over $10-15 billion a year in losses, and have shown that any attempts to scale only increase that burn rate. They’re running out of investor money to toss into the fire.
And they just announced a last ditch free unlimited for everyone plan to…I dunno drum up interest or hope it converts to paying customers or something. So their costs are about to skyrocket even more, accelerating their death spiral
My prediction:
*Server-grade purpose built AI components flood the market
SXM to PCIe adapters already exist hehe
Not to mention my dumbass would chuck money at a whole server just to throw it in my home lab.
I see no problem if I can snag some generic Instinct accelerators, and a server to go. I’ve already got half a rack full.
Just like how GPUs became cheap and plentiful after mining crypto became passé, right?
I want to believe
6 will actually be “RAM suppliers buy the stock in bulk and sell as refurbs, keeping prices up”
So you’re not 100% incorrect, but does it happen in 2027? 2028?
Logistically it’ll probably happen eventually, but when?
OpenAI is likely to be the first domino to fall that causes the whole bubble to pop. They’re burning over $10-15 billion a year in losses, and have shown that any attempts to scale only increase that burn rate. They’re running out of investor money to toss into the fire.
And they just announced a last ditch free unlimited for everyone plan to…I dunno drum up interest or hope it converts to paying customers or something. So their costs are about to skyrocket even more, accelerating their death spiral
Lending to companies doesn’t work like that.
Softbank’s $40bn loan will be called on March 25, 2027. If they can’t roll this over it’s the banking equivalent of a margin call.