News for hackers. Stuff that matters.

A comment on IBM CEO says there is 'no way' spending on AI data centers will pay off. Parent comment

Re:IBM CEO says there is 'no way' spending on AI data center... by austin-cheney on Tuesday December 02, 2025 @01:59PM (#46125071)
It’s not about assumptions on the hardware. It’s about the current demands for computation and expected growth of business needs. Since we have a couple years to measure against it should be extremely straightforward to predict. As such I have no reason to doubt the stated projections.
[ Parent | on HN ]
Re:IBM CEO says there is 'no way' spending on AI data center... by andix on Tuesday December 02, 2025 @02:24PM (#46125469)
Failure rates also go up. For AI inference it’s probably not too bad in most cases, just take the node offline and re-schedule the jobs to other nodes.
[ Parent | on HN ]
Re:IBM CEO says there is 'no way' spending on AI data center... by 9cb14c1ec0 on Tuesday December 02, 2025 @07:05PM (#46128663)
> Since we have a couple years to measure against

Trillion pound baby fallacy.

[ Parent | on HN ]
Re:IBM CEO says there is 'no way' spending on AI data center... by lumost on Tuesday December 02, 2025 @08:04PM (#46129052)
Networking gear was famously overbought. Enterprise hardware is tricky as there isn’t much of a resale market for this gear once all is said and done.

The only valid use case for all of this compute which could reasonably replace ai is btc mining. I’m uncertain if the increased mining capacity would harm the market or not.

[ Parent | on HN ]
Re:IBM CEO says there is 'no way' spending on AI data center... by piva00 on Wednesday December 03, 2025 @03:39AM (#46131840)
BTC mining on GPUs haven't been profitable for a long time, it's mostly ASICs, GPUs can be used for some other altcoins which makes the potential market for used previous generation GPUs even smaller.
[ Parent | on HN ]
Re:IBM CEO says there is 'no way' spending on AI data center... by blackenedgem on Wednesday December 03, 2025 @03:48AM (#46131959)
That assumes you can add compute in a vacuum. If your altcoin receives 10x compute then it becomes 10x more expensive to mine.

That only scales if the coin goes up in value due to the extra "interest". Which isn't impossible but there's a limit, and it's more often to happen to smaller coins.

[ Parent | on HN ]