Hook

Their other posts in the index, biggest breakout first.
Data Center Owners and Operators are now rushing for the exits as costs skyrocket. They see from the inside that the bubble has peaked and are now looking for a way out. Data-Bank, Edged and EdgeCore Digital Infrastructure, according to The Wall Street Journal, citing people familiar with the efforts. The interests are collectively valued at tens of billions of dollars and are being presented to private-equity firms. It's now looking like these data center companies are finally looking to cash out in this AI bubble. And they're using private equity as their exit. And this is extremely significant because these are data center operators. They're not just like investors and finance people. These are people who are in the weeds when it comes to AI. And if they're looking to cash out, it's because they know this thing is about to pop. They can see the massive losses being sustained and as reported, they're seeing the costs of building and operating the data centers skyrocket, which of course is directly related to the war, helium, LNG, all this stuff that I've been saying. At the same time, developers face growing opposition from some local communities concerned about electricity consumption, water usage, noise, and environmental impacts. Purohit said local resistance to new development has become a bigger issue than many people realize. They know exactly how bad it is and they're now looking for the exits. The reported processes concern equity in entire companies rather than a combined portfolio or individual facilities. A controlling investment can give a buyer access to operating capacity, secured development sites, customer relationships and future expansion across multiple U.S. markets. But even more significant is that they're looking to sell equity in the companies as a whole. Instead of like making a combined portfolio or a fund for shared access, they're looking to fully exit and have little to no exposure whatsoever in the data centers that is. And that of course shows that they're seeing just how bad of an investment AI is. They can't win. They can't generate any ROI. It's very simple dollars and cents, but uh, investors today, they have no sense. And it's solely being rushed out because we're too impatient to wait for chip technology to develop. Data centers will never show a return. It's solely being rushed out because we're too impatient to wait for chip technology to develop. And to be honest, it's mainly just so we can race against China. Which mind you, we're clearly losing that race. We're building this massive bubble for nothing. But all this together means that AI not only pops, but it's also the biggest financial black hole ever created. This is why the Mag7 collapses even though they're profitable. I've already explained many times that the profits are fake because of the circular financing. If you can pass money back and forth between each other and then the Mag7 came right off their expenses as depreciation. The earnings are fake. But it's worse than just fake because the trillions that are spent on data centers will never show any ROI. It's very simple dollars and cents, but uh, investors today, they have no sense. And it's solely being rushed out because we're too impatient to wait for chip technology to develop. Data centers will never show a return. It's solely being rushed out because we're too impatient to wait for chip technology to develop. And to be honest, it's mainly just so we can race against China. Which mind you, we're clearly losing that race. We're building this massive bubble for nothing. But all this together means that AI not only pops, but it's also the biggest financial black hole ever created. This is why the Mag7 collapses even though they're profitable. I've already explained many times that the profits are fake because of the circular financing. If you can pass money back and forth between each other and then the Mag7 came right off their expenses as depreciation. The earnings are fake. But it's worse than just fake because the trillions that are spent on data centers will never show any ROI.