Alchemy Capital Management questions sustainability of $240 billion cloud borrowing
Business
Big cloud companies are racking up serious debt ($240 billion, to be exact) to fund infrastructure spending.
Alchemy Capital Management is raising concerns about whether this level of borrowing is actually sustainable, since they are turning to debt to fund infrastructure spending.
Alchemy Capital warns AI investment risk
All this debt could make long-term investing in AI a lot riskier.
Alchemy Capital says it is rethinking its own strategies, recognizing how important AI is but also warning that too much borrowing could hurt future growth across the industry.
If you're interested in where tech and money meet, this is definitely a trend to watch.