Nothing has ever been, directly or indirectly, deficit financed at this scale before. In notional or real terms, in history, by anyone.
Now maybe there's an argument that it's a good investment: we are going to beggar the Treasury to buy 2CTA on CoWoS out of Taipei and DCs the size of Manhattan. I personally think we could have done a little more engineering before deciding that the big blind was like, 5 trillion all counted, but it was going to be expensive no matter what.
What super weird is that we're running a project where the "penny" to the "dollar" is the Manhattan Project, and a couple of super weird dudes who do MDMA at Lighthaven now and again are like, in charge of it.
what does this mean?
Dunno.
>CoWoS
Chip on wafer on substrate
>DCs
Data centers
I find it unlikely that this is true.
The obvious candidate for things financed through staggeringly large deficits would be war.
But with $1.4T announced capex for the Frontier AI labs, we're not far from the 2nd (illegal) war in Irak: $1.8T of direct military spending.
With that said, I don't know how Frontier Ai companies will ever recover this capex with a glorious $50B of revenues. Add to that that a GPU's lifetime is only a few years and you may see it as a deadend.
NB: did you know Uber destroyed $27B of value since inception? But it still exists. So Frontier AI might just do the same.