I joined @CNBCtelevision's 'Fast Money' to discuss where the AI boom could be most vulnerable.

Watch on YouTube

Now Playing

Transcript

29 segments

0:00

The Achilles heel of this whole story,

0:02

if there's going to be an Achilles heel,

0:04

is if something bad happens to Anthropic

0:06

and OpenAI. And I I think the argument

0:09

about what it that could be is

0:13

the Chinese op-

0:15

open end model, open weight models are

0:18

much cheaper.

0:19

And if they start really taking a lot of

0:22

market share, and it s- it sounds like

0:24

from what I'm hearing that they're

0:25

starting to, you could have a big price

0:27

war. And then

0:29

then we have a problem.

0:31

That's That I think is the Achilles heel

0:33

of the story. That's something I'm

0:34

monitoring. The But the issue is, you

0:36

know, as as everybody knows who short

0:38

stocks,

0:40

Carter, timing is everything. You know,

0:42

that story could happen,

0:44

but it could be a year from now.

0:46

And until then, you know, pe-

0:49

And it may not happen at all. But if it

0:51

even if it does happen, it could happen

0:52

a year from now. And between now and

0:54

that year, the hyperscalers are going to

0:56

still be spending money like crazy on

0:57

Nvidia chips.

Interactive Summary

Ask follow-up questions or revisit key timestamps.

The speaker identifies the primary risk to the current AI market landscape as the rise of cheaper open-weight models, which could trigger a price war for companies like Anthropic and OpenAI. Despite this potential threat, the speaker emphasizes that the continued heavy investment in Nvidia chips by hyperscalers is unlikely to subside in the near term, making the timing of any potential market correction uncertain.