this post was submitted on 22 Sep 2026
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They'll reclassify it as a necessary utility like water or power and tax more subsidies for paying billionaires even more from public coffers before admitting it's mostly just search engines & corporate social media eating their own tail.
This is why I think the bubble will last a lot longer than some people think. The heads of the tech firms have such a tight relationship with the GOP, and even a somewhat tight relationship with the Democrats that it's almost certainly going to be declared "too big to fail" or "too critical to fail".
The fact that it's being used by the military just makes that even more likely. The firms will declare that if they go bankrupt, the military will be crippled -- despite the fact that the military ran just fine without "AI" just 5 years ago.
So, when the economics of the situation show how absurd this bubble is, the collapse won't happen because the firms will be propped up by the US government. That will put every taxpayer on the hook for the billions and billions of debt these firms took on. So, Andreessen Horowitz and the Saudis will be bailed out by the taxpayers who have been fighting datacenters.
Chatbot labs don't employee enough people for too big to fail to be a concern. There isn't enough currency in existence to make them profitable.
It's not about how many people they employ. That wasn't an issue during the 2007/08 banking crisis either. It's about how much capital is tied up with them. Most voters would probably say "just let them fail", but the people whose money it is are the ones who have easy access to the politicians, and they're saying "this is too big to fail".
Doesn't matter. There isn't enough currency in existence to make them profitable because they fundamentally cannot do the things they claim they will be able to do.
It doesn't matter how fast you breed your horses, they will never give birth a locomotive.
That's why they need a bailout.