Big Tech and its upstart partners are plowing tens of billions into artificial intelligence infrastructure despite mounting warnings of an overheating market. OpenAI, still unprofitable, struck a multiyear, multibillion-dollar pact with AMD for next-gen GPUs and secured a path to buy up to 10% of the chipmaker, even as Nvidia readies a $100 billion commitment to the AI lab. Amazon, Google, Meta and Microsoft continue a spending spree on data centers, while Oracle is earmarking $40 billion for Nvidia hardware tied to OpenAI’s “Project Stargate,” underscoring a scramble for compute. The outlays come as valuations soar—Nvidia above $4.5 trillion, OpenAI at $500 billion, and Microsoft and Google topping $3 trillion—reviving dot-com-era comparisons. Some investors, including Jeff Bezos, see bubble dynamics but expect durable winners to emerge. Long-term demand looks solid, said a Santa Clara University professor, though an interim period of overbuild and slower-than-expected monetization could test nerves.
Bubble or boom, AI keeps attracting multi‑billion‑dollar capital
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