Reports

Oracle has sent a force majeure notice to the Blue Owl-owned developer of Project Jupiter, the 2.45GW data center campus in Doña Ana County, New Mexico. The notice keeps Oracle in place as anchor tenant. It reserves the right to defer payments if the campus fails to come online in 2028. Oracle still wants the capacity. It no longer wants to pay on a timetable that a water … [Read more...] about Oracle’s Force Majeure Notice on Project Jupiter Shows Where AI Data Center Risk Is Landing

The AI buildout still has buyers. What changed this week is the price they charge. A data center tied to CoreWeave raised $1.1 billion in high-yield bonds at 98.5 cents on the dollar, for a yield of 9.25%. That is roughly 2.7 percentage points above debt with the same rating. Same week, SoftBank finished a junk bond sale of about $11 billion, which puts it among the largest … [Read more...] about AI Infrastructure Credit Costs Rise as CoreWeave-Tied Bonds Price at 9.25% and China Chipmaker Profits Jump 620%

OpenAI and Anthropic both cut the price of frontier intelligence on the same day. GPT-6 Sol lists at $2 per million input tokens and $10 per million output; GPT-6 Luna at $0.10 and $0.50. Both sit roughly 50% below GPT-5.6. Anthropic's Claude Opus 5.5 lists at $4 and $20, costs about 40% less to run than Opus 5, and matches Fable 5.1 on most tasks by the company's own account. … [Read more...] about OpenAI and Anthropic Cut AI Model Prices as $1.75B in Funding Flows to Data, Security and Infrastructure

Global semiconductor revenue passed $425 billion in the second quarter of 2026, up 31.4% from the first, according to Omdia. That's the fastest sequential growth the firm has recorded since it started tracking the market in 2002. The previous record, 29.2%, was set one quarter earlier. First-half revenue came to $752 billion, more than any full year in the industry's history … [Read more...] about Semiconductor Revenue Hits Record $425B in Q2 2026, but Omdia’s $500B Q3 Forecast Implies Growth Halves

Start with my conflict. I hold semiconductor and AI infrastructure positions, which means a calm story about AI is worth money to me and a frightening one isn't. Take that into account for everything below. I'll concede something else too, because it's true: the people warning about this aren't frauds. Several of them held these views years before there was a payroll attached, … [Read more...] about AI Extinction Warnings Went Global in Six Days. Nothing in the Technology Changed.

Bloomberg reported late Monday that Anthropic completed due diligence on the Israeli startup Decart and then decided against buying it. The number attached to the talks was roughly $6 billion, which would have made it Anthropic's largest acquisition by a wide margin. Representatives for both companies declined to comment. One person familiar with the discussions said the two … [Read more...] about Anthropic Walks Away From $6 Billion Decart Acquisition: The Deal Was About Inference Cost, Not World Models

The consensus response to the administration's growth argument is that it is arithmetically impossible. That response is too quick. The arithmetic is not impossible. It has been done before, within living memory, in this country, and the mechanism that did it was mostly not legislation. What makes the current version unlikely is not the math. It is that the math requires three … [Read more...] about The Case That the US Can Grow Out of $40 Trillion in Debt: Three Conditions the Clinton Surpluses Actually Met

Gross federal debt crossed $40 trillion on August 19, months ahead of the forecast path, in part because the revenue from the invalidated tariffs never arrived. The administration's answer is growth. "The way you take care of debt is with growth," Trump said. Bessent, on CNBC: there is nothing magic about the number, and the economy can grow out of it. Kent Smetters, who runs … [Read more...] about The $40 Trillion Debt: Why AI Capex Raises Treasury Borrowing Costs Faster Than It Raises the Tax Base