● AI Bubble Backlash
Why You Must Read This Article Right Now: The True Face of the AI Bubble You Are Being Deceived By
Will the AI craze currently heating up the market really last forever?To be straightforward, behind the AI competition we are so enthusiastic about lies a massive “legal money laundering” structure that is bound to burst eventually.This article contains the secret of the abnormal revenue circulation structure between Nvidia and Big Tech, which other news or YouTube channels never cover in depth.Furthermore, it thoroughly uncovers why brilliant Big Tech companies continue this reckless gamble and how the concept of “AGI (Artificial General Intelligence)” has been transformed into a perfect marketing tool.Looking at recent global economic forecasts, AI seems to absorb all paradigms, but once you know the inside story, your perspective on the market will completely change.Lastly, it compiles a clear survival guide on what individuals like us must prepare immediately to survive after this massive bubble bursts.
[Exclusive In-Depth Analysis] The Shocking Truth YouTube and News Don’t Tell You: Big Tech’s Wash Trading Cartel
1. The Superficially Glamorous Revenue Inflation Structure of Nvidia and Big Tech
I will start by pointing out the most important core point.The tremendous revenue of Nvidia and Big Tech, which currently leads the market, is not “real money” purely earned from the outside.According to Bloomberg’s rigorous tracking, behind their glamorous Big Tech performance lies an abnormal trick akin to playing billiards with each other, circulating money among themselves to inflate their ledgers.The core point keyword to perfectly understand this structure is a company called “CoreWeave.”CoreWeave was originally a mediocre company that mined cryptocurrency, but it has now hit the jackpot with the GPU rental business, which is the core point of the AI era.This company’s business model is simple. They buy GPUs in bulk from Nvidia and rent them out to Big Tech.However, what is surprising is the fact that this company’s debt is over 13 times its revenue.With a revenue of 2 trillion won and a debt of 30 trillion won, they are quite literally stretching every limit to sweep up Nvidia GPUs.
2. The Endless Cycle of Capital: Ultimately Buying One’s Own Products with One’s Own Money
From here, the structure becomes truly baffling.Nvidia makes a massive investment in this CoreWeave.CoreWeave, whose corporate value skyrocketed after receiving the investment, pulls astronomical maximum loans from Wall Street banks based on that credit.And with those loan funds, it buys up all of “Nvidia’s GPUs” again.In the end, Nvidia invests its own money to grow CoreWeave, and CoreWeave takes on debt to boost Nvidia’s revenue, which is clearly a form of “wash trading.”This circular economy appears exactly the same in the relationship between Microsoft and OpenAI.Microsoft invested a massive sum of 13 billion dollars into OpenAI, but in reality, this money is not cash; it is closer to a coupon concept like an “authorization to use its cloud servers.”OpenAI uses the invested money (coupons) to use Microsoft’s servers again, and Microsoft records this server cost as its own “revenue.”The structure in which Google and Amazon invested 11 billion dollars into Anthropic is 100 percent identical to this.It is not an influx of new cash from the outside, but a kind of cartel where they circulate the stakes among themselves to boost stock prices and receive transfusions of new investment funds.
Why Won’t the World’s Brightest Minds Stop This Dangerous Gamble?
1. The Unexpected Evolution of AI: Scaling Laws and the Emergence of Reasoning
Despite such severe structural issues, there is a reason why Big Tech cannot pull out.Initially, even within Big Tech, they calculated that AI learning efficiency would stagnate at some point.However, the more mindlessly they poured GPUs into it, the more AI started to do something resembling real “reasoning” beyond mere statistical patchwork.Recent AI is demonstrating “test-time compute” capabilities, where it breaks complex problems into multiple logical steps, discovers contradictions on its own, and finds alternative paths.What is surprising is that this development is not due to meticulous design, but is closer to a phenomenon accidentally discovered while burning through GPUs.Since no one knows the limit of how far it will evolve, they have no choice but to bite the bullet and continue injecting astronomical capital.
2. The Reality of AGI (Artificial General Intelligence): A Perfect Marketing Narrative, Not Technology
However, there is a part where a line must be coldly drawn.No matter how smart current generative AI looks, it is structurally impossible for it to become a perfect creator or a god-like AGI.Because AI lacks “desires” such as a survival instinct or curiosity, it cannot set goals for itself.Moreover, it does not truly understand causal relationships; it merely searches for an “advanced average value” by assembling the most plausible words out of hundreds of billions of data points.Revolutions that changed human history have always come from subversive thinking that overturned a 0 percent probability, but statistically based AI is inherently incapable of such revolutionary creation.Nevertheless, the sole reason Big Tech strongly pushes the AGI narrative of “creating a god” is “investment justification.”To explain tens of trillions of won in deficits, instead of using complex technical terms, they utilize the fear and pretext that “you will fall behind if you do not invest in the process of creating a god” as a marketing device.
Big Tech’s True Intentions: Tollgate Business and a New Class Society
1. Discovering a New Cash Cow Aimed Directly at White-Collar Workers
Big Tech’s true purpose does not lie in abstract things like creating a perfect god.Their realistic target is replacing 70 to 80 percent of high-wage white-collar professionals (doctors, lawyers, developers, etc.).The core point is to stimulate companies’ desires to reduce labor costs and maximize efficiency, making them replace human employees with AI.
2. Evolution into Essential Public Infrastructure: A Structure Where You Pay Money Just to Breathe
Ultimately, what Big Tech is aiming for is to become “public infrastructure,” like electricity, water, or gas, where everyone has to pay a monthly bill.It is an intention to set up a “tollgate” that companies must pass through whenever they process intellectual labor, without the tiring need to sell new innovative products every year.Just as a company cannot turn off the lights because the electricity bill went up, it is a terrifying blueprint to create a world where operating a company is impossible without AI, thereby extorting permanent subscription fees.
What Should We Do? A New Direction for Survival and Investment
1. The Collapse of the Bubble is Inevitable, but the Infrastructure Remains
If even one of the AI cartels collapses (for example, if OpenAI cannot make money and cannot afford server costs), it is only a matter of time before the performances of CoreWeave and Nvidia are shattered like dominoes.Looking back at the history of past economic crises and bubble bursts, countless companies went bankrupt during the 19th-century railway bubble and the dot-com bubble of the 2000s.However, upon those ruins, the massive infrastructures of railway networks and the internet remained intact, and true giants like Rockefeller and Google were born.The current AI competition is also a natural transitional growing pain where the massive infrastructure that will dominate the next era is being laid.
2. Bet on the 1 Percent Unique Human Domain
Given this situation, a strategy that goes beyond simply looking for AI-related stocks is needed.The correct direction for stock investment is not a gamble to guess who will be the final winner, but rather contemplating how you will utilize this established AI infrastructure.Boldly throw away the 99 percent of routine tasks, such as predictable research, Excel, and emails, to AI.And you must invest all your time and energy into the role of the “1 percent architect” who creates a 0 percent probability creative idea that AI can never imitate, builds your own narrative, and sets up the board.The answer sheet is already out. Rather than walking the path paved by others, it is time to become a pioneer who experiences and acts upon the changing era first.
< Summary >The current record-breaking performance of Nvidia and Big Tech is a massive bubble created by a wash trading structure where loans and investments endlessly cycle through intermediaries like CoreWeave. Once this circulation loop is broken someday, collapse will be unavoidable. Nevertheless, the reason they are burning massive capital is that AI is demonstrating unexpected reasoning capabilities through scaling laws. However, the AGI (Artificial General Intelligence) they speak of is merely a marketing narrative to attract investment, and Big Tech’s true purpose is to replace the intellectual labor of professionals and dominate the “essential public infrastructure (tollgate)” that collects monthly subscription fees like electricity or gas. The bubble will burst, but the AI infrastructure will remain. Individuals must leave routine tasks to AI and focus on the “1 percent unique narrative creation and board setting” that AI cannot do, in order to become the architects of the coming era.
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*Source: 다이켄의 테크인사이트
