by Brian Shilhavy, Health Impact News:
I think many Americans are about to learn that math is very unforgiving, and always produces the same number based on the numerical data used for mathematical calculations, regardless of beliefs, illusions, cons, and science fiction.
You can believe yourself, and try to convince others to believe that 2 + 2 does NOT equal 4, but something else like 5.
But just like AI, math has no consciousness and creates nothing. It just reports the mathematical results based on the data input, which is how the REAL world works, as opposed to the FAKE world, and their FAKE (artificial) intelligence.
TRUTH LIVES on at https://sgtreport.tv/
Reality is now catching up to the fantasy land of “generative AI”, and we are drawing nearer to the crash of the great AI bubble every day. The money merry-go-round among Big Tech with their AI investments shows no sign of abating yet, with Nvidia currently sitting on the top of the bubble holding the largest bag of money.
But the signs are now showing that this AI show may soon be over, as the only way forward at this point is to build huge new power-hungry data centers.
And while it is debatable if the economy can come up with new ways to generate more power to run these data centers, one thing is not debatable: to build and maintain these data centers requires a huge increase in human labor, and we do not have that labor in the U.S. workforce right now.
In fact, many of these skilled jobs are currently run by immigrant labor where the supply line to this cheap labor has not only been cut off at the borders, but is decreasing with mass deportations.
The U.S., and the entire world, are about to get a rude lesson in math, and wake up to the fact that science fiction is just that – fiction, which is based on fake (artificial) intelligence.
The robot revolution to replace humans will soon be canceled, due to a lack of humans to build them and maintain them.
Data Center Construction Delays Exemplify how Reality Trumps Hype
An unfinished data center construction site. These are popping up all over the U.S. right now. Image source.
Anissa Gardizy, writing for The Information just published an article today titled: “As AI Data Centers Face Delays, the Blame Game Begins”
Excerpts:
The mood is shifting in AI data center circles. The euphoria of record-setting, multi-gigawatt deals has given way to finger pointing as deadlines to get AI servers online slip or get dangerously close to falling behind.
For months, data center builders have told me many of the gigawatt-size AI server facilities are running behind schedule because of the complexities of putting together the biggest clusters of servers ever attempted.
[T]he stakes are different now, given the urgency to complete AI data centers.
Earlier this year, Oracle executives raised their voices at contractors in Abilene, Texas, as pressure mounted on the company to hand over working servers to its customer, OpenAI.
The executives had good reason to be frustrated.
We’ve heard cloud providers’ contracts with customers include provisions in which customers can pay less if the provider misses a timeline or if the servers aren’t functioning properly, reducing their uptime.
For GPU cloud providers with already thin gross profit margins on renting out servers, these problems can materially alter their financial results.
The race to get Nvidia GPU clusters online continues to be a challenge for some firms that promised speedy timelines. And it’s likely that as power becomes harder to secure, which could also cause delays, we might see customers hedging their bets by working with multiple data center providers.
Several developers told me this week GPU shipments are outpacing construction timelines so severely that some firms are storing racks of idle GPUs in warehouses, waiting to be told where to send them.
Even Meta acknowledged this tension on its earnings call in late October. Chief Financial Officer Susan Li said the company is now “staging data center sites,” or essentially getting them ready with everything but the GPU racks, so Meta can “spring up capacity quickly in future years as we need it.”
In other words, even large data center developers like Meta are building buffers to prepare for capacity spikes.
One thing is clear: We’re entering an era where the physical limits of labor, equipment, utilities and contractor bandwidth are colliding with customer demand.
It’s going to be a bumpy ride. (Full article – subscription needed.)
Here is what Microsoft CEO Satya Nadella said earlier this month:
Microsoft CEO Satya Nadella didn’t mince words in his appearance on the Bg2 Pod with investor Brad Gerstner and OpenAI’s Sam Altman.
The tech leader made a startling admission that the biggest problem facing AI expansion right now isn’t chips — it’s power.
In what was a rare moment of candor, Nadella confessed that Microsoft has some of the most cutting-edge GPUs sitting idle because there’s basically nowhere to plug them in.
“I don’t have warm shells to plug into,”
he said, referring to unfinished data center facilities that don’t have power or cooling capacity.
It’s a stunning admission from arguably the world’s most resource-rich companies, and a potential reality check for the entire AI boom.
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