A lot of people keep saying AI is a bubble. What if the real story is that there isn't enough capacity to go around?
On Friday's show my co-host Nico Lafakis told a story he'd heard about a team that reserved computing power, went back to it months later, and found someone had outbid them: "Somebody else came along willing to pay more money. So they booted them and gave it to the other people willing to pay more money."
His read: "Cash offer housing scenario with compute right now. That's how strained we are for resource." And on the bubble talk: "It's a bubble that's only due to constraint in terms of resources not being available."
If you're trying to make sense of the "is it a bubble?" noise, here's one host's picture of what's going on underneath it.
Watch the episode: https://valuefirststudios.com/media/episode/vf-ai-daily-2026-10-16
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