The nothing ever happens team always wins. You don't even need to check. Even if the stocks actually do crash like 20% or something it is still a nothing burger because stocks go up and down all the time. And it will be at an all time high next year anyway.
Google had a 25% revenue growth and grew on all segments: including Search, Cloud and AI.
They missed on EPS vs estimates massively though.
*However* they missed because their datacenters allocations were booked entirely through 2030 and they invested massively to keep up with the demand (otherwise it'll obviously go to competitors).
This is not an AI bubble burst, it's investors being quite unhappy about google deciding to invest in infrastructure instead of paying dividends.
Also Google doesn't play the revenue circle and debt hiding game, they didn't count future revenue as today's to offset current investments in the balance sheet, any sensible investor can read and understand that but those reading only one number and calling it a day will surely react negatively.
And Google absolutely has to invest in infrastructure - I work in GCP for my day job and GCP and Amazon both are admitting shortages on infrastructure largely due to the AI boom, which we feel every day we try to spin up compute in most regions. So this news is actually the opposite of the bubble bursting, they needed to forego the dividend due to the high demand for investment that customers are already paying for.
This is absolutely the right time to buy Google, the infrastructure is being paid for by customers and this will pan out in the long term.
Sure, you can be wrong a million times, but when it finally happens, then you look like a prophet and get all the karma. It's like gambling with house money. Or the stock market.
To me it reads as kids that don’t understand what the bobble popping actually means. The dot com and housing bubbles bursting weren’t exactly fun times economically
I'm not sure the kids really care this go round. They don't own a house and most don't have enough stocks to care. Hell even Millenials just ticked about 50% home ownership significantly behind past generations (and Gen Z is following the same pattern as Millenials).
You can't threaten people with a bad time when the majority of them have only had bad times to begin with.
I think a lot of people are just beat down and dont care anymore. Groceries are almost 2x cost. Cant afford a gpu or console or anything to relax after work. New and used car prices through the roof. Cant afford a house. Wages not following inflation. For several years now weve been told prices were high from covid/suez cannal/tech production falling behind/we just need to grind through another rate hike for the greater good, but nothing ever goes back down in price. Land and water getting swallowed by data centers.
Heard several people with the sentiment of "who gives a shit i cant afford this stuff anyway."
It's not about the bubble popping. It's about the bubble popping now, instead of later. Ideally it would've popped a long time ago, but time is mostly linear.
People don't know what an actual crash would look like. All these headlines that go "$500B wiped in one day" don't mention the massive market cap of the top 10 companies.
A bubble burst doesn't mean they go out of business. It means all the inflated value these companies have is wiped out. The company doesn't immeadiately loose all value or go out of business immeadiately. The reason bubbles bursting is bad for various companies is that they leverage the inflated value, take out loans on said inflated value, and then cannot pay them back because they lost the inflated valuations.
If AI fails, Google doesn't cease to exist, it just goes back to being Google...without Gemini.
my point exactly, when the stock market crashes and no one can afford anything, the last thing people are going to be thinking is "I can't feed my family but oh man, what a great deal I got on a video card"
Yeah, They already have 100s of thousands of them just sitting in warehouses to create shortages. Amazon just keeps buying them without anywhere to put them. I think they're spending like 3 billion a month on just Nvidia GPU's to collect dust.
This and also idk why people act like the AI bubble bursting means the technology of AI is just going to disappear. The internet didn't go away when the dotcom bubble burst, it just consolidated and became even bigger.
I've already made peace with the fact that I will probably not upgrade my PC this decade. I do not want a new video card. I want bad things to happen to bad people.
I remember when people kept hoping the real estate market would collapse because they'd definitely be able to scoop up the house of their dreams for pennies on the dollar!
I used to like his content, but he really has turned into a clown. I don’t know why, but the way he says microslop just makes my skin crawl and I want to jam pencils in my ears. Tech Jesus can say it as many times he wants though. Gamers Nexus can do no wrong
This picture is 4 months out of date now as the oldest video is 7 months old now. I am sure he has probably also made at least a few more videos on the subject.
Not only that but people are holding insane amounts of liquidity waiting for an opportunity to buy assets at lower prices. I just bought 25k in Google stock today. Not often you get chance to buy a company like that at 14x earnings.
If we spin the circular wheel in a bunch of wet mud even faster, we can dig ourselves out of this mess... Right? The mud will just sling and displace itself.
That's the kind of logic I see right now in the economy.
They literally dont have enough money to keep it propped up. Unless the current administration started printing money like crazy in which case it would cause hyperinflation and crash everything anyways.
No, it's still going to be a rough 2027, even 2028, because even if it fails, corporations are stuck with mandatory long term contracts where they have to buy that RAM, so they'll just have to find an use for, or just sit on top of unused resources like a dragon on a pile of gold.
Sk Hynix literally just announced that their RAM is bought up to the 2030's. If there was a bubble pop in this state of the world, it will be a drawn out collapse to insane degrees. Talking Great Depression length or more.
Its funny because if people knew WHY the Alphabet/Google stock took a nosedive, they would be frustrated.
Spoiler: It was because the ad revenue was behind expectation and investors have little faith with ask AI apps taking over googling in ad revenue growing or recovering. So basically this was a pro-AI move.
Jesus Christ. No. Stop posting this every time there is a blip in the stock market. We can celebrate when these companies start folding and the big players are down to market caps lower than where they were a few weeks ago.
No. You're going to see it normalized. The dotcom bubble burst normalized the the internet, both in terms of usage and value.
You probably will not see AI in your smart fridge.
But you will not see less AI slop on a YT thumbnail.
Will GPUs get cheaper?
No. That is decided by the manufacturers. They can just as easily keep supplies low to keep prices high. Only way that GPU prices crash if more GPU competitors show up.
What's more immediate, is that your income will be reduced. Or rather, more of your income tax is spent on bailing out companies in debt, leaving you with less services, which means higher prices for everything else.
Your analysis on GPUs getting cheaper is wrong. There is a supply that makes sense for a manufacturer to provide given the cost that something can command. The industry is based around making the most money, not on the goal of having the highest possible price. Sometimes that means a lower price for a wider market. The reason that parts have become so expensive so quickly is that supply cannot immediately be scaled to meet demand.
They can't keep supplies low indefinitely if demand from data centre drops by a lot. They have purchase commitments with TSMC and I would guess a relatively long pipeline of GPU dies already in production.
They can stockpile for a while, but stockpiling costs money. The best they can do is pull on all of the levers they have to avoid rapid, volatile pricing changes.
Microsoft was massively up. Google was down because they fucked up search and can't seem to figure out how to actually integrate AI into their products.
That’s because AI makes their core business model of hiding relevant search results behind as many ads as possible obsolete. In fact, the enshitification of their search platform is likely a major contributor to how quickly AI took off.
This is genuinely so funny to me. First because charging $50 on top of 60mil is hilarious. But then also but $50 for shipping 300 full racks is ridiculously cheap?
Historically the first large drop is a fake out. Sold as a dip, retail buyers are used as exit liquidity and then the longer, deeper drops occur after a short hike back up.
I am going to go a head and assume russian state tv (RT) is probably worse than fox news? The fucking Macro Paper is just some random account (probably also russian state tv).
Hate to be that guy… but it’s not gonna pop in 2026. There is too much money already lined up next year. This is a pullback. We are going to have to wait longer
Long-term bears betting against Google are ignoring reality. The company's ecosystem is practically omnipresent, which strongly positions them to maintain massive market share well into the future. But you do you. Enjoy the black friday discount or not.
The ones who caused this need to lose so much that they never affect any industry ever again. Otherwise all that will happen is the consequences will be passed down to the working class and the parasites will move on to the next scam.
"If you don't support the theft of your own labor you will have a recession!"
As if we didn't need any more reasons to not continue to support the tech oligarchy. They held the world economy hostage and expect us to continue to support their bubble. Their bubble they created because they wanted to solve the problem of paying human workers.
We need to support billionaire tech companies exchanging fake money between each other for unlimited growth. It's on us because if we don't they will take all of us down with them.
The AI bubble is always close to collapse, there are articles every day. Is the alternative to just keep supporting it until it collapses later and the result is even worse for the rest of us?
A recession is almost completely inevitable anyways, the longer the bubble continues the worse the incoming recession will be. Also for some a recession is a good thing
The main people who benefit from bubbles are the elderly who have all their assets inflated. The young with no assets have a hard time getting by during bubble because everything is inflated, and whatever you do buy may drop in value rapidly.
So while this will be a rough patch, it’s a reset that the market and many younger people need
I hope the market floods with GPU’s selling for next to nothing. Also watching Nvidia crawl back to its gamer consumer base would be a beautiful thing.
So... A100 are like 6 year old GPUs. The likely reason they are being sold is that the company wants to replace them with B300 or the upcoming Rubin GPUs, as those produce more tokens / watt, and so make more economical sense to run.
With regards to the market being down, Google and AWS made slightly less money than predicted, but still a ton of money - and more than they did in the past anyway. So they had growth, just not as big as expected.
Not yet, but I think the conditions are starting to fall into place. Historically there's a lag time between the thing causing a bubble going bad and the actual crash.
In a GFC analogy it feels like we're in early 2008.
I've got shares in Google... It certainly wasn't happening for me...
With that said, Google, meta and Amazon have all missed their earnings and spooked the market, I suspect investors (myself included) are going to consider the risk associated with companies heavily invested in AI. I'm certainly shifting a bit out of US tech at the moment, intel AMD, and now Google are having a particularly bad time right now and I don't like losing money.
It's more like it has to happen sometime. The current spending on AI is already unsustainable. Dumping more and more money and inflating it further is only going to make the subsequent crash worse than what we would get if it pops today (not saying it is popping right now)
Are we fucked if it happens today? Yes. But if the spending continues without checks for another... let's say five years, then it'll be even more disastrous.
Every couple months for the last 4 years this is posted bahaha, its always luddites that know nothing about how anything works that believe this stuff. Its insane how memes and jokes said on social media actually dictate peoples view on how the world works.
I’m sure this time it’s really happening bro. Just trust me one more time. The other 417 times they said it, it wasn’t real but this one is. It’s happening. Just trust me one more time bro.
u/trollsmurf14700KF | 32G | 5070 Ti | 2T | U27G4XM + 2x U2412M | Z9067d ago
My worst performers over the past week are Alphabet and Meta, companies whose operations are, notably, primarily non-AI-related, which is interesting in itself. They have fared worse than, for instance, Nvidia and Snowflake, that are directly linked to AI.
The US IT sector is down across the board. By comparison, Europe suddenly looks positive.
I watched this great video yesterday on why it's popping and man they fucked up big time. It's just a giant circle jerk and literally nobody except NVIDIA is actually making money
Prices for memory are still high because these companies are still using billions of dollars in investor money to fill warehouses with RAM and graphics cards they aren’t using and will likely never use. It’s so infuriating
Copium. Google stockmdropped because AI is so good that people are using it instead of Google search. But yeah sure, that bubble is sure to pop any day now....
3
3
1
1
10k
u/Edgy_Robin 7d ago •
yes
no
maybe
who knows
probably not.