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The effects of the AI hyper scaling boom on the commodity hardware and energy markets are very much not like the dot com boom.

Outside of the obvious economic effect of the dot com boom - the creation of near infinitely scalable high margin online businesses - there was a secondary effect on consumer electronics, with a massive growth in demand for networked devices; there was then much more of a balance between the hardware growth in the network infrastructure and data center worlds as well as in desktop and mobile.

The AI boom’s hardware impact is much more skewed, as this article details.

by zozbot23410 hours ago|

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> Two Chinese firms are ramping up production of consumer RAM/SSDs because they see a market opening

Yes but these Chinese firms are a tiny share of the overall RAM/SSD market, and they'll have the same problems with expanding production as everyone else. So it doesn't actually help all that much.

by bluGill9 hours ago|

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The biggest problem in expanding for everyone else is they don't trust the market to exist for long enough to be worth paying for a new factory so they are not investing in it. The Chinese might be small, but they think the market will exist and are investing. Will they be right or wrong - I don't know.

by bitmasher910 hours ago|

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Chinese firms won’t have the exact same problems as anyone else. Some problems will be the same but not all.

* Chinese firms finance through different banks and investors than current ram producers

* A company with a mission statement of consumer ram won’t have their supply outbid by data centers

* Chinese manufacturing has more expertise in scaling then any other manufacturing culture

by jameshart9 hours ago|

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The fact that there’s been a massive expansion in the nonconsumer market means the consumer market makes up a smaller proportion of the overall market, but it doesn’t mean the consumer market is any smaller than it used to be.