Hedge-fund manager David Einhorn cautioned that Big Tech’s trillion-dollar push into artificial-intelligence infrastructure risks destroying large amounts of capital, even if AI ultimately exceeds today’s lofty expectations. Speaking at a Simplify Asset Management panel at the NYSE, the Greenlight Capital founder questioned whether annual outlays of $500 billion to $1 trillion by companies including Apple, Meta and OpenAI will produce adequate returns. Einhorn also flagged weakening labor trends and sluggish productivity as signs the U.S. may already be in, or heading toward, a recession, reiterating his view that markets remain structurally broken.
Einhorn Warns AI Capex Boom May Destroy Capital Despite Tech’s Promise
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