Jin Rong Jie·2025-12-15 05:00Group 1 - Wall Street's skepticism towards AI investments is increasing, with signs of a potential bubble emerging as companies like Nvidia and Oracle face stock sell-offs and declining market sentiment around OpenAI-related enterprises [1][2] - OpenAI plans to invest $1.4 trillion over the next few years, but its revenue is significantly lower than its operating costs, leading to an expected loss of $115 billion by 2029 and not achieving positive cash flow until 2030 [1] - Major tech companies, including Alphabet, Microsoft, Amazon, and Meta, are projected to spend over $400 billion on capital expenditures in the next 12 months, primarily for data center construction, but their revenue growth from AI is insufficient to cover these costs [2] Group 2 - The depreciation costs associated with the data center boom are rising, with Alphabet, Microsoft, and Meta's total depreciation costs increasing from approximately $10 billion in Q4 2023 to nearly $22 billion in September, and expected to reach $30 billion by next year [2] - Despite high valuations, tech stocks are not as overvalued compared to past market booms, with the expected P/E ratio of the Nasdaq at 26 times, significantly lower than the over 80 times during the internet bubble [2] - The disparity between massive investments and actual returns raises concerns, yet stock prices have not reached panic-inducing levels, creating a dilemma for investors [3]