2026-10-31 05:57 UTC
Replies (8)
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@eicker@lemmy.world 2026-10-31 05:58
Wall Street spent years pricing every chip company as if humanity would soon need a GPU to make toast. Then Intel mentions that people aren’t buying overpriced PCs, and a trillion dollars evaporates. Apparently the most advanced semiconductor technology on Earth still can’t manufacture realistic expectations.
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@thoughtfuldragon@lemmy.blahaj.zone 2026-10-31 05:59
Lol
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@red_bull_of_juarez@lemmy.dbzer0.com 2026-10-31 06:39
Fantasy money vanishes, more at 11.
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@Saljid@lemmy.world 2026-10-31 06:39
Beautiful.
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@sundray@lemmus.org 2026-10-31 07:13
Huh. in August, [the US government spent] $8.9 billion for a nearly 10% share of Intel, converted out of CHIPS Act grant money. Today, the federal government is Intel’s largest single shareholder. Wonder what that 8.9 billion is worth now…
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@BarneyPiccolo@lemmy.today 2026-11-01 05:27
Somebody call a WAAAAAH-mbulance!
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@nilloc@discuss.tchncs.de 2026-11-02 03:47
It’s because computer sales are down because RAM is unavailable because AI companies bought it all on credit because the investors gave them shitloads of market cap because they want to replace PCs with LLMs because they have all these chips that can crunch numbers because semiconductor companies have been building them for LLMs.
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@megopie@lemmy.blahaj.zone 2026-10-31 21:32
Not mentioned in the article but TSMC (company that actually manufactures the chips for everyone (except intel who manufacture their own designs)) has lost nearly 17% of it’s stock price over the past month, 7% in the last week. All of these companies were being valued based on the assumption that the number of GPU data centers being built would increase as time went on. Essentially that the demand for the these various products would not just stay as high as it is, but keep getting higher. This is just a bunch of analysts saying “ok, well, maybe the number of data centers being built will not increase drastically, and the demand for these products will stay the same”. The real blood bath comes if they start saying “there will be less datacenters constructed next year than there are currently under construction.” The current shift in sentiment probably comes from the “disappointing” info from the companies that would be buying all the compute from the data-centers. Google missing ad revenue growth targets due to Gemini cannibalize search. Anthropic preparing to IPO and being forced to show less than stellar financials. I suspect that this down turn is temporary and Valuations will rise angain and we will see another big crash before this hype cycle truly dies.