Gemini Is Getting Funded Again

But why?

Alphabet just sold $80 billion in stock to keep funding AI spending.

One of the most profitable companies in history.

Scraping couch cushions.

What’s actually happening

Every hyperscaler went from printing infinite cash to desperately raising capital.

Google. Meta. Amazon. Microsoft. All of them burning through money at a pace nobody planned for.

And here’s the hard truth nobody wants to say out loud.

Not all of them are going to win.

They’re spending hundreds of billions like the outcome is guaranteed. It’s not. Some of them are going to blow all of this for nothing.

Nvidia is fine — they make money regardless of who wins. They’re the picks and shovels.

But Meta? If Meta doesn’t get a real foothold in AI they just incinerated years of profits for zero gain. Same story for Microsoft, Alphabet, SpaceX.

One or two of them win. The rest lose everything they spent.

The Anthropic IPO situation

Valuation was supposed to be around $800 billion.

Now it’s being talked about at $1.5 trillion.

The number goes up $50 billion a day in private markets.

Private market valuations — fine, whatever, value it at anything. No real accountability.

But when you dump it on the public at these numbers it better be real.

That’s the moment of truth. And we’re right at peak mania heading into that moment.

The RAM problem

There’s a current supply crunch on memory chips for AI.

It hurts. It’s a bottleneck right now.

But it will solve itself.

There’s enormous money in building new RAM factories right now. Everyone is doing it. China is doing it. When that supply comes online simultaneously — and it will — there will be a glut.

The semiconductor industry is cyclical. This has happened many times. Supply crunch leads to overbuilding leads to glut leads to price crash.

You get the RAM cheap eventually. You just have to wait.

On worker treatment

Companies treat workers well when workers can leave.

That’s the whole equation.

Silicon Valley engineers get perks and good pay because they can say forget this and walk out the door to five other offers by Friday.

When workers have nowhere else to go companies have no incentive to treat them well.

Regulations help at the margins but companies drag their feet on compliance until it costs them something real.

The core mechanism of economic justice is antitrust.

Break up consolidation. Force real competition. Give workers actual options.

When companies have to compete for talent — not just in a few elite sectors but broadly — the treatment gets better automatically.

Everything else is theater.

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