Thursday, 11 December

Thursday, 11 December2025

AI Chip Investment at Risk of Rapid Obsolescence

AI Chip Investment at Risk of Rapid Obsolescence
The tech industry has invested approximately $400 billion into specialized AI chips and data centers this year, but this massive spending spree faces significant risk. The main concern is the rapid rate of obsolescence for AI chips, which become outdated in three to five years. This fast turnover threatens the return on investment and can even jeopardize loans secured using the chips as collateral.

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