Over the past few weeks, several US banks have pulled off from lending to Oracle for expanding its AI data centres, as per a report.
$3.50 for the JavaScript trademark.
Will this help lower ram prices?
This particular source seems sketchy, but the broader context supports the core of this story.
There was a report in January from TD Cowen that Oracle needed to free up cash as banks tightened up lending for data center deals, and that certain projects were on hold and in jeopardy of being canceled. That same report projected that Oracle might lay off 20,000 to 30,000 workers.
Then, just this last Friday, Bloomber reported that Oracle and OpenAI canceled their plans to expand their flagship data center in Texas as part of their $500 billion “Stargate” initiative. Here’s the Reuters article describing it at a high level, because the original report is paywalled.
So everyone is looking back at that January report and seeing the recent data center news as confirmation that Oracle wants to free up cash by laying off staff.
I called it a year or two ahead of time. Oracle will get bought by the federal government. Larry already has the fix in.
I hope oracle tanks and takes Ellison with it
Yes, clearly it is the human staff that needs to be cut from the budget here. Fucking imbeciles.
this may be one of the early signs of a burst(besides the economy falling due to that one war i think?)
I saw this and sound “holy shit” aloud. If this sketchy source is legit, this is probably pretty big. The stock market has been wobbly the last few days.
True.
The stock market (for tech companies) has also been falling before the war.
They fired people for AI, now they fire them without AI. Please tell me how they plan on sustaining an economy where only the 1% has discretionary income?
They don’t need an economy. They need obedient workers
Control instead of trust, a problem as old as time. Trust would lead to prosperity, control, if not absolute, will always eventually fail - and it’s never absolute.
Obedient unemployed
First they need to destroy your income, then they can make you do whatever they want
But Oracle was building those data centers for OpenAI. OpenAI is going to be used by the Pentagon. Bailing Oracle out is now a matter of National Security!! If this has to come off of the taxes paid by the people they just laid off, that’s unfortunate but… have I mentioned National Security?
No, this week it’s the children.
I cannot wait for this bubble to finally burst.
It’s gonna suck for the working class WAAAAAAAAAAAAAAAAY more than the people who will lose their fortunes as a result of the bubble popping
sorry
it always does
Michael Saylor, one of the biggest owners of one of the other “doesnt actually do anything” bubbles - Bitcoin - is a great example. He made a fortune during the dot com bubble.
With that said, if I have to eat hard tack and canned beans and use leftover charcoal from the park BBQ grills instead of toothpaste in order to never have another AI bullshit feature shoehorned into my existence, it might be worth it
Yes, I am well aware that we live under capitalism.
The big bubble. May it pop before we do.
I was listening to a finance YT vid last night and the dude said if it wasn’t for the enormous AI spend, the US would be deep in a technical recession now.
obviously the fault of immigrants and those on food stamps though /s
We are in a deep recession?
The enormous AI spend isn’t going to me, or you, or anyone I ever met.
True, but line isn’t going down yet.
Because none of the checks they’ve kited have come due
Those damn immigrants taking up all of the best landscaping, slaughterhouse, roof tarring, and crop picking jobs.
Ironically the only jobs that Anthropic and OpenAI claim AI won’t take. All those newly minted AI billionaires and nobody to maintain their golf courses… How sad is that?
What good is being super wealthy if you can’t feel superior to other people?
lol
Lmao, even
Rotfl, I daresay.
If the banks don’t see the value in it, it’s only a matter of time
It’s always been just a matter of time
Once that glorified autocomplete turns sentient you’ll look like quite the fewel.
Sucks to be in tech right now. I’m sure there are still pockets of good employers with happy, confident worker bees, but those are few and far between as best I can tell.
Pretty much everybody I know and speak with regularly who is working in the tech industry or a tech role in general is feeling the strain.
Layoffs. Remaining employees have to pick up the additional workload of people who were laid off. Threats of future layoffs. Hiring freezes. Bonuses slashed or cut entirely. Little or no raises, not even cost of living increases. Demotions, in some cases. Expected to use LLMs to do things that LLMs have no business doing because management is clueless on the topic and expects everybody who is “good with computer” to be an AI expert. And the list goes on.
And then as already mentioned elsewhere, there are almost no true entry-level positions opening up, so new grads are really struggling to get established in the industry. It’s particularly sad because this is so short-sighted and the negative impacts have the potential to be quite severe.
I was laid off in 2019 by a large west coast tech giant as part of a mass layoff. We had the option of trying to find a new internal job but every job posting involved AI (seven years ago!) and nobody that I knew even got a reply from any application. Now I’m a school bus driver and 100X happier even though I make like 1/5 of what I used to make. The plot twist is that AI is probably going to replace school bus drivers sooner or later, flattened children be damned.
They could, but you’ll likely be the last one to go. Those kids will likely kill each other without supervision, and the third time they have to drive little Jimmy to school because the bus AI didn’t wait 30 seconds, they’ll be so far up the administration’s ass. They’ll know what they had for breakfast.
my older bro as laid off as part of the first wave in '23 heard thier company got bought out and he hasnt found any job yet, he might be doing “investment or stocks though”.
ugh. I hate driving.
Easy win for companies that didn’t buy into the hype. I’m the only dedicated software dev at my company, so there was no middle manager to foolishly think a chat bot could do my job. We are a small company that can compete with big players, and those big players appear to be floundering. Now, we are expanding.
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we already seeing the effects of fresh graduates from college, and those that are still in. i wonder if any more reports of universities having low enrollments is going to be too big to ignore.
This is worse than 2008 and I remember back then I was let go and the other guy was not and we sorta debated which would be worse off. This is way worse though. I would say at least twice as bad at this point. Funny thing was no one realized the trouble we were in in 2008 it was really like 2010 by the time it was really felt. On hindsite they are going to be talking about the collapse in 2025.
I’m not an economist, so I don’t know shit about fuck (though most economists don’t either tbf), but some people are comparing this to the railway bubble. Shit’s (potentially) so bad that they don’t even have a comparison from within our lifetimes to point to.
You should be able to sue companies for gambling away their employees’ lives like that.
You as in who, the shareholders that indirectly voted for it?
Fuck the shareholders.
Who is doing the lawsuit, some unrelated third party, the employees?
The people that were laid off.
Investors are already suing Oracle right now btw, of course the legal system wouldn’t have let them down.
Ah I see, that would be an interesting law. Maybe it will happen one day, and we will take it for granted like we do 8 hour work days.
It’s not unheard of, in certain cases in certain more civilised states it does happen.
The state should be able to sue as layoffs put strain on the social system.
