AI is a Trillion Dollar time bomb [CNBC]

Here's a summary from Perplexity of the key points from the best video on AI that I have seen recently:

Excessive Spending: Major tech companies like Meta, Google, and Amazon have significantly increased their capital expenditure (capex) to build AI infrastructure and stay competitive in the rapidly evolving AI landscape. Low Returns: Despite the enormous investments, the returns on these AI investments are not yet matching the level of spending, creating a potentially unsustainable situation.

Microsoft's Investments: The video specifically mentions Microsoft's substantial investments in AI, including a $13 billion investment in OpenAI.

Contrasting Partnerships: An interesting point raised is that while Microsoft invested heavily in OpenAI, Apple reportedly secured a partnership with the same company for free just 18 months later, suggesting potential inefficiencies in how companies are approaching AI partnerships and investments.

Industry-wide Concern: The video suggests that this pattern of high spending and low returns is not limited to a few companies but is a broader trend in the AI industry.

Future Implications: The "time bomb" metaphor implies that if this trend continues, it could lead to significant financial challenges for companies heavily invested in AI development.