Oracle is increasingly looking like the Lehman Brothers of the AI boom. One day it will all go pop and the cards will start crumbling elsewhere in the industry.
Oracle could face $7B collateral bill for Wisconsin data centre
21–30 of 116 posts
Re: Oracle could face $7B collateral bill for Wisconsin data centre
#22Earlier quoted context omitted.
every stock should have the chance to go to zero if we are to have a true Free Market.
Fundamentally wiping out shareholders and most of bond holders bonds is a good thing. It keeps markets healthy and honest. Excuses about pensions is just excuses from gamblers.
The boom/bust cycle is the Faustian engine of innovation. Take away the risk of busts and we have fake capitalism without innovation or renewal.
Re: Oracle could face $7B collateral bill for Wisconsin data centre
#23Earlier quoted context omitted.
The idea that we can’t get enough electrical power on earth because of supply constraints, but that we can solve that by launching the datacenters and their entire support infrastructure into space makes no sense unless you’re a huckster trying to pump up your space launch business ahead of an IPO. There’s no way we are more constrained on land-based solar+battery equipment than we would be on space-worthy solar+batt…
[flagged]
How much SpaceX stock did you buy? Are you buying this dip?
Re: Oracle could face $7B collateral bill for Wisconsin data centre
#24Re: Oracle could face $7B collateral bill for Wisconsin data centre
#25Earlier quoted context omitted.
The idea that we can’t get enough electrical power on earth because of supply constraints, but that we can solve that by launching the datacenters and their entire support infrastructure into space makes no sense unless you’re a huckster trying to pump up your space launch business ahead of an IPO. There’s no way we are more constrained on land-based solar+battery equipment than we would be on space-worthy solar+batt…
[flagged]
How do the laws of physics allow it? How do you disperse the heat? How do you protect your compute from cosmic rays? How do you get enough solar up there without catastrophic damage from micrometeorites?
Re: Oracle could face $7B collateral bill for Wisconsin data centre
#26Related: S&P Global has lowered Oracle’s creditworthiness from BBB to BBB- https://news.ycombinator.com/item?id=48909768
Damn, that's after it was already lowered last fall. I lack perspective, does that mean it's sinking like a stone?
Re: Oracle could face $7B collateral bill for Wisconsin data centre
#27From what I can tell, the DC buildout isn't going that well. I've been wondering about the current status of the projects because there hasn't been much in the news or here about new DC's coming online. This report summary makes the point that getting power to the datacenters with onsite generation is running into roadblocks from permitting to even finding turbines to buy. He who shouldn't be named (here) made the sa…
The idea that we can’t get enough electrical power on earth because of supply constraints, but that we can solve that by launching the datacenters and their entire support infrastructure into space makes no sense unless you’re a huckster trying to pump up your space launch business ahead of an IPO. There’s no way we are more constrained on land-based solar+battery equipment than we would be on space-worthy solar+batt…
For whatever reason, nobody is trying to build solar-powered AI datacenters. Maybe they can't find enough land.
Re: Oracle could face $7B collateral bill for Wisconsin data centre
#28Oracle cannot possibly be expecting to meet its bets here. My own empirical one-person observation is that my friend worked there in the group that went around the world standing up their new cloud datacenters, and he was there from basically 2019 to earlier this year. They laid him and half his team off earlier this year. Absolutely nonsensical if they're really building out cloud data centers. Because that's exactl…
> Because that's exactly what his job was for the previous 5 years... Or possibly senior leadership isn’t happy with the pace of DC buildout over the last 5-years.
Very unlikely to be the technical build team at fault for that.
Real estate, legal, permitting, utility connections, construction, plant fit out, testing and certification, security, customs and immigration, and shipping all need to happen first - and every one of those has room for huge amounts of uncertainty and delay, more so if you're doing it internationally.
There aren't many shortcuts that you can take when you're dealing with a complex combination of hardware, property, and law.
Re: Oracle could face $7B collateral bill for Wisconsin data centre
#29Earlier quoted context omitted.
The idea that we can’t get enough electrical power on earth because of supply constraints, but that we can solve that by launching the datacenters and their entire support infrastructure into space makes no sense unless you’re a huckster trying to pump up your space launch business ahead of an IPO. There’s no way we are more constrained on land-based solar+battery equipment than we would be on space-worthy solar+batt…
[flagged]
Sending to LEO costs around $2,700 usd and 9kWh of fuel per kilogram.
If you manage to send a data center with high end processing units, large array of solar panels, even larger liquid cooling and tick shielding against solar rays you’d have spent probably 100x to 1000x the cost of an equivalent earth data center even without considering hardware deprecation.
You’re better off sinking your data center deep in the sea and even that is probably not happening at large scales.
Re: Oracle could face $7B collateral bill for Wisconsin data centre
#30Oracle cannot possibly be expecting to meet its bets here. My own empirical one-person observation is that my friend worked there in the group that went around the world standing up their new cloud datacenters, and he was there from basically 2019 to earlier this year. They laid him and half his team off earlier this year. Absolutely nonsensical if they're really building out cloud data centers. Because that's exactl…
From my limited second-hand understanding of orcl, a team that operates in a smooth and well greased manner is quite the anomaly. I could see why the company would have an immune response to it.