GoKawiilWall Street Journal flags AI industry's circular financing as growing risk
The Wall Street Journal reports that major AI companies are investing in smaller startups that use the same funds to buy services back from those large firms, creating interlinked financial dependencies. The report notes Alphabet recently suffered its largest-ever single drop in market value, wiping out more than half a trillion dollars, while data-center operator CoreWeave has also seen declining shares over recent months.