Everyone knew it was a gamble, that is why there is an AI bubble, a big enough crash will come along eventually.
The thing is "AI" as we know it require constant monetary input, the newest chips, new training, maintenance to avoid model drift, constant improvements to keep up with competition... CapEx will not be a problem that get solves anytime soon
The AI players are hoping that someone folds and they end up being the last one at the table, but even then, the number does not bode well because the revenue will still not keep up with the expenditure.
45 Cybercabs on the Road — Enough to Justify a $1.49 Trillion Autonomy Narrative?
Tesla rose 5.42%, then flat after hours: the session priced the launch, the after-hours the reality. Cybercab began carrying passengers in Austin with no wheel or pedals, invite-only, 45 cars; regulators opened a safety review. Waymo opened paid service in three cities the same day. Tesla is ~$1.49tn at ~350x, down 16% YTD, on 45 cars of proof. Bulls: demo-to-passengers is the threshold, owner-operators scale it without capex. Bears: 45 is nowhere near profitable, and a formal probe takes the timeline out of Tesla's hands. Tesla on miles driven, Waymo on paid cities, or wait on the regulator?
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