{"slug": "happy-companies-are-all-alike-every-unhappy-company-is-unhappy-in-its-own-way", "title": "Happy companies are all alike; every unhappy company is unhappy in its own way", "summary": "A Nikkei study reveals hidden debt at U.S. tech giants swelled eightfold in four years to an estimated $1.65 trillion as artificial intelligence investments ballooned, exceeding the roughly $1.35 trillion in debt reflected on their balance sheets. The value of AI-linked firms has climbed $27 trillion in the past three years, equivalent to 36 percent of the value of the entire U.S. stock market, prompting warnings from the International Monetary Fund about risks to financial stability. OpenAI projects $100 billion in annual ad revenue by 2030 despite currently struggling to reach $1 billion, according to a Futurism report.", "body_md": "Sam Altman seems to be making OpenAI way more non-profit than before: Even as the AI bubble becomes a mainstream talking point on Wall Street, tech companies continue to peddle the fantasy that AI is poised to become an almost magical money-maker. Case in point, OpenAI wants you to believe that by 2030, it’ll be raking in $100 billion a year just from ads alone — even though it’s currently struggling to reach just $1 billion. ↫ Joe Wilkins at Futurism The US tech giants fueling this “AI” bubble are trying to hide the true extent of their debt: Hidden debt at U.S. tech giants swelled eightfold in four years to an estimated $1.65 trillion as artificial intelligence investments ballooned, a Nikkei study shows, exceeding actual debt and making it tougher for investors to assess risk. The five companies’ hidden debt, which does not appear on balance sheets, totaled $1.65 trillion in the most recent quarter, exceeding the roughly $1.35 trillion in debt reflected on their balance sheets. The data includes some estimates. ↫ Kohei Yamada at Nikkei Asia The bubble is expanding to comical proportions: The American stock market is booming, thanks to artificial intelligence. Tech giants are borrowing billions to acquire AI talent, purchase chips and hardware, and construct data centers. And market watchers are starting to get worried. They see financiers bulldozing giant piles of money to private AI start-ups with no realistic path to profitability, tech companies reliant on other tech companies for revenue growth, and non-tech businesses without a lot to show for their AI investments. The value of AI-linked firms has climbed $27 trillion in the past three years—an astonishing amount, equivalent to 36 percent of the value of the entire U.S. stock market today. Although future earnings could justify those valuations, as Dominic Wilson and Vickie Chang of Goldman Sachs argued in a note to clients, the profit expectations require Panglossian optimism. No less an authority than Sam Altman is arguing that we are in an AI bubble. The International Monetary Fund is citing it as a significant risk to financial stability and warning about what might happen when it bursts: diminished investment, tighter credit, reduced consumption, disrupted trade flows. ↫ Annie Lowrey at The Atlantic I’m not worried, though. I have it on good authority that “AI” increases productivity by 10x, so surely, none of the above is a problem. Any day now, we will be inundated with waves of brand new, high-quality, valuable software. Any day now, existing software will increase in quality by 10x, leading to a huge surge in software sales. Any day now, productivity in factories will increase rapidly thanks to “AI” freeing up workers’ time, driving prices down 10x, leaving consumers with 10x more money to spend. Any day now, everyone will be able to produce the next Citizen Kane or write the next Anna Karenina, causing an explosion in magnificent, timeless art that will have historians of the future marvel at our civilisation’s ingenuity and artistry. In the meantime, these companies can just ask their “AI” how to become profitable. Should be table-stakes for a 10x force multiplier. I’m not worried.", "url": "https://wpnews.pro/news/happy-companies-are-all-alike-every-unhappy-company-is-unhappy-in-its-own-way", "canonical_source": "https://www.osnews.com/story/145577/happy-companies-are-all-alike-every-unhappy-company-is-unhappy-in-its-own-way/", "published_at": "2026-07-22 12:01:57+00:00", "updated_at": "2026-07-22 12:07:29.834193+00:00", "lang": "en", "topics": ["artificial-intelligence", "ai-policy", "ai-infrastructure"], "entities": ["OpenAI", "Sam Altman", "Futurism", "Nikkei Asia", "Goldman Sachs", "International Monetary Fund", "The Atlantic"], "alternates": {"html": "https://wpnews.pro/news/happy-companies-are-all-alike-every-unhappy-company-is-unhappy-in-its-own-way", "markdown": "https://wpnews.pro/news/happy-companies-are-all-alike-every-unhappy-company-is-unhappy-in-its-own-way.md", "text": "https://wpnews.pro/news/happy-companies-are-all-alike-every-unhappy-company-is-unhappy-in-its-own-way.txt", "jsonld": "https://wpnews.pro/news/happy-companies-are-all-alike-every-unhappy-company-is-unhappy-in-its-own-way.jsonld"}}