[refurb]

I would question the idea that highly industry consolidated debt is competing with risk free debt issued by the US government. Those are two very different products.

And while the quarter by quarter growth may seem astonishing it very different saying “debt levels today are alarming” versus “if this trend continues debt levels will be alarming”

[mapping365]

So the disclosed balance sheet debt is 1.35 trillion and then the off-balance sheet debt is 1.65 trillion for a total of 3 trillion in AI debt for the 5 tech giants so far. It's multiplying every quarter and they've set investors expectations to be that this is never ending basically. But the tech giants aren't the only people spending themselves into massive debt, think of the CoreWeaves and the Nebius and the hundreds of other smaller companies. And the expectation is that there will be a near term return on all this with a healthy profit. Those five tech giants are just the tip of the iceberg in terms of the amount of debt.

[refurb]

While the debt numbers might look large, don't forget how much revenue is coming into these companies as well.

OpenAI gross revenue was $4B in 2024, $13B in 2025 and estimated to hit $26B in 2026. Revenue is doubling or more.

Same with Anthropic. $1B in 2024, $9B in 2025 and estimated to be $47B in 2026.

All the AI companies together are pulling in hundreds of billions of dollars per year in revenue and it's going up quickly. To me, taking on trillions in debt in order to make hundreds of billions in revenue doesn't seem crazy.