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An animated explainer breaking down where Big Tech's ~$800 billion AI spending actually goes, arguing that GPU depreciation (~$60 of every $100) — not electricity (~$7) — is the real cost of running AI data centers, and questioning whether the AI boom can pay off before a 2000-style fiber bubble repeats.
This paper analyzes how open-weight AI demand affects the economic value of older NVIDIA GPUs, showing that open-weight models are cheaper and that hardware like the A100 remains cost-effective for specific workloads.