Program and Guest
Bloomberg Television's This Weekend interviews Mike Shepard, Bloomberg's senior editor for technology and strategic industries, with hosts David Gura and Lisa Mateo. This article covers the full program.
Key Points
(The following paraphrases the guest's remarks. Timestamp links lead to the corresponding points in the original video.)
- Investor confidence in the AI trade is fading: Shepard says the loss of confidence did not begin this week; earlier this month, it had already appeared in questions about the debt and returns of neocloud providers such as CoreWeave. 0:56
- Hyperscalers are pressing ahead with AI investments while core businesses show weakness: Earnings reports over the past week and a half show that Meta, Google, Amazon and others are continuing their AI investment plans, but weakness in traditional core businesses such as e-commerce and advertising at Alphabet and Amazon exceeded investors' tolerance. 1:35
- Alphabet faces a dilemma: Its cloud business is being used to demonstrate that AI can translate into financial performance, but as AI mode is integrated into search, users spend less time near ads, raising a new question about how to monetize AI-generated search. 2:35
- Intel's troubles are linked to memory shortages: Intel recorded its worst single-day performance since 1974, partly because of tight memory-chip supplies. AI chips require large amounts of memory, and Apple and Intel are competing with AI developers and chipmakers for the same supply. 3:38
- The Binance theft was unprecedented in scale: Approximately 6.3 billion US dollars was stolen, making it the largest theft in crypto history and far exceeding last year's record of 1.5 billion US dollars. Investigators and observers allege that North Korean hackers may have been involved. Binance says it will do its best to compensate customers and has a reserve fund for such incidents. 4:56
Background and Notes
The subtitles cover 0:00–6:32, and this article covers the full program. The views and timestamps are paraphrased from the original subtitles; each timestamp marks the start of the corresponding passage.