@henryfudgeofficial: Big Tech is spending $700bn+ on AI as its price collapses. Why? The race for recursive self-improvement, and why winning it may destroy the prize. This is the tantalus condition. #economics #ai #aibubble #AGI #rentierblackhole

Henry Fudge
Henry Fudge
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Thursday 05 November 2026 20:16:17 GMT
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themightybessicus
🇺🇸 🆘Bessie 🆘 🇺🇸 :
If only Karl Marx had wrote about this….wait…. To make a profit, a capitalist cannot just produce commodities; they must also sell them. Marx called this "realizing" the value of the goods. If automation eliminates jobs and drives down wages, the working class, which makes up the vast majority of consumers, loses its purchasing power. The market is flooded with cheaply made, machine-manufactured goods, but there is no one left to buy them.
2026-11-05 21:56:30
327
xaltdisneyx
Alt Disney :
this is by far the best explanation of the Ai race.
2026-11-05 21:05:41
858
crownofwinter
♤²² ²⁹ :
imagine if we had that kind of money to tackle global food insecurity instead of chasing Peter Thiel's desire not to be human anymore
2026-11-06 12:48:52
230
tetroglyph
Tetroglyph the Goblin :
It's because they were banking on the entire world magically using this for everything, then hiking the price by 100×. They fucked up by not actually making a product.
2026-11-06 18:28:43
50
hx.unknown19
hxx :
they’re multiplying 😂😂
2026-11-05 21:11:31
427
justaskanya
justaskanya :
What a great explanation, thank you!
2026-11-07 22:44:27
1
henryfudgeofficial
Henry Fudge :
So yeah, in short. I think the entire market and its logic can only be explained by the perception of the AGI prize…which annoyingly makes this process all rational kinda….but it also means trillions may be wasted if the nerds balls it up and the cost of money itself may skyrocket
2026-11-05 20:17:58
387
hubrobberskak
HubrobberSkak :
Or it's just a hype. Got all the money in the world building up the dystopian total global control surveillance state.
2026-11-08 07:40:58
1
hoffmann.world
Christopher Hoffmann :
I’ve been talking to Metal Fabrication shops lately and they’re saying structural steel is getting almost impossible to find. Because of all the data centers. It’s not even about the price you took your hands on it. I just talked to a job shop in Portland who’s getting worse from Idaho because everybody within 400 miles it’s swamped with work.
2026-11-08 00:14:56
1
raistric
dkrfamily :
For 99% of tasks, the massively cheaper/free Chinese options are completely ok. Who’s not to say that the Chinese don’t have better solutions already - but are keeping them under wraps until the US tech companies have committed so much money, they would be virtually bankrupt when the Chinese announced better solutions. If I was in Beijing, that would be my game plan…😇
2026-11-05 23:38:23
76
penchantfrog
DMD :
RSI and AGI seems highly, extremely improbable
2026-11-06 14:53:36
0
jrigby649
Jimmy :
First
2026-11-05 20:21:52
388
tech123452
tech123452 :
Big problem is Americans pay themselves ultra high salaries . In AI it is worse, what the hell a techie is doing that he is paid $1m bucks! American GDP IS INFLATED!
2026-11-08 08:39:26
1
samd55551
samd55551 :
IF they succeed and I have no access to the goods I need, can I rent my body to serve as a power generator/computing unit, while AGI will display reality in my head?
2026-11-06 14:26:24
16
manny112941
manny112941 :
Rentier black hole is back and crazier than ever
2026-11-05 20:40:56
47
bonfus
bonf :
This is the first time I saw an explaination that made sense It is not getting enough attention.
2026-11-06 18:04:17
1
firebir
Lefty Lifting :
If you keep breeding horses you’re not going to give birth to a locomotive - Cory Doctorow
2026-11-06 17:57:58
17
adoringconspiracy
adoringconspiracy :
Paging Black Mirror writers
2026-11-06 00:38:51
139
cigarworldkentucky
Keith :
it took the whole video, but at the end he said rentier blackhole!!
2026-11-05 21:28:50
82
whyareyoualldumb
Joe Bolser178 :
I predict Ai will be the same as the airplane, electric, railroads etc. It will have massive profit expectations and always fall short, but still radically change day to day life and the way society interacts.
2026-11-06 06:45:02
11
bigjig77
bigjig77 :
AGI is a fantasy.
2026-11-05 20:37:03
25
troontroontroonsahur88
TroonTroonTroonSahur88 :
we are living in hell
2026-11-06 17:42:59
6
julezzzzzzz7
julezzzzzzz7 :
Karl Marx predicted this close to 200 years ago
2026-11-06 13:15:20
7
kalsuri
kalsuri :
I'm not saying that an AGI isn't possible. but it's very frustrating that anyone is even remotely considering that we're even close. I'll admit LM can be convincing when it comes to models predicting human speech patterns. but that's literally the only thing that they can do.
2026-11-06 01:53:57
16
playwithnette
playwithnette :
This makes for some very scary watching. Can we have a third scenario? Where we all revolt and refuse AI altogether?
2026-11-06 07:26:56
27
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