Gen AI is Trillions of Dollars Down the Toilet

The Skeptic's Bible

In the first episode of The Skeptic's Bible, host and researcher Razedhunter demolishes the massive Gen AI scam with facts and logic.

Gen AI has horrifying environmental, neurocognitive, and cultural harmful consequences. But in this episode, Razedhunter focuses on the economics.

OpenAI, Microsoft, and Silicon Valley as a whole are throwing trillions of dollars down the toilet with no way to even come close to recupperating those expenses.

Razedhunter examines the terrifying economic data.

Please visit StopGenAI.com to learn about our movement to save humanity from Gen AI.

Research citations:

• 30% of AI projects will be abandoned: https://www.gartner.com/en/newsroom/press-releases/2024-07-29-gartner-predicts-30-percent-of-generative-ai-projects-will-be-abandoned-after-proof-of-concept-by-end-of-2025

• Investor group skeptical of AI: https://www.cfo.com/news/elliot-management-letter-says-ai-is-overhyped-and-in-a-bubble-trial-balanc/723109/

• Jeremy Grantham says it's a bubble: https://acquirersmultiple.com/2025/03/the-ai-bubble-jeremy-grantham-on-history-markets-and-economic-risks/

• MAG 7 will spend 7 trillion over the coming years: https://www.mckinsey.com/industries/technology-media-and-telecommunications/our-insights/the-cost-of-compute-a-7-trillion-dollar-race-to-scale-data-centers

• Amazon datacenter dead: https://www.wfmz.com/news/area/lehighvalley/northampton-county/slate-belt/umbt-supervisors-say-amazon-data-center-deal-is-dead/article_2c051ddb-25bd-4326-9614-662f9e88156c.html

• Softbank has to borrow 16 billion for AI investments: https://techstartups.com/2025/03/03/softbank-in-talks-to-borrow-16-billion-for-ai-after-2-4-billion-loss-is-this-bet-sustainable/

• Microsoft rose while AI fell: https://www.investors.com/news/technology/msft-stock-microsoft-fiscal-q3-2025-earnings-preview/

• Co-pilot only made 4 billion out of 29 billion revenue: https://finance.yahoo.com/news/microsoft-beats-q3-estimates-on-top-and-bottom-line-on-strong-cloud-bookings-200617303.html

• Microsoft cutting back on AI: https://www.nytimes.com/2025/04/30/technology/microsoft-earnings-ai-spending.html

• AI isn't selling well: https://pivot-to-ai.com/2025/05/07/ai-computers-arent-selling-because-users-dont-care/

• AI bubble by Gary Marcus:

https://uk.news.yahoo.com/silicon-valley-sceptic-warning-tech-120000285.html?guccounter=1&guce_referrer=aHR0cHM6Ly93d3cuZ29vZ2xlLmNvbS8&guce_referrer_sig=AQAAAK8Z09dsELIIJb2LcbWB6b6MaFLhgnvnlZjsZ4BoY842GbnNg5gjhlmxmffhSkSsfGyxm_mn95BS8xKw5983FC-AmU1U_RQ1vf34HUZla0dYQr4EJsVfPOpremVzFtMZ7cswI7oEQBshSLuWaChGXzE2xgf7Z3T3nJWx9soRbKRw

• No AI company has been profitable so far: https://www.google.com/amp/s/www.cbc.ca/amp/1.7264014

• Microsoft,google,and Amazons 1 trillion bet wont go off: https://www.businessinsider.com/ai-less-profitable-than-previous-tech-waves-2024-8

• The Current AI models aren't sustainable as a product to sell: https://towardsdatascience.com/economics-of-generative-ai-75f550288097/

• Microsoft is cutting data centers and hiking up prices for costs: https://theconversation.com/microsoft-cuts-data-centre-plans-and-hikes-prices-in-push-to-make-users-carry-ai-costs-250932

• C3.AI shows no signs of profitablity: https://finance.yahoo.com/news/3-numbers-c3-ais-latest-124500821.html

• Fake MIT AI data on economics exposed: https://pivot-to-ai.com/2025/05/17/how-to-make-a-splash-in-ai-economics-fake-your-data/

• AI companies are struggling to make profit; https://www.nytimes.com/2024/04/29/technology/ai-startups-financial-reality.html

• AI query calculated by power usage (inference is not going down either): https://www.technologyreview.com/2025/05/20/1116327/ai-energy-usage-climate-footprint-big-tech/

• Microsoft backed AI startup facing bankruptcy: https://techcrunch.com/2025/05/20/once-worth-over-1b-microsoft-backed-builder-ai-is-running-out-of-money/

• AI is still overvalued: https://loyolaphoenix.com/2025/02/ai-is-still-overvalued-2/

• Taxpayers are covering for datacenters: The New Stadium Scam Is a Server Farm By Marc Oestereich, Reason

• AI disappoints in sales for Iphones: https://www.spokesman.com/stories/2025/jan/13/iphone-sales-drop-5-in-holiday-quarter-after-ai-di/

• AI business owes money to cloud companies: https://www.datacenterdynamics.com/en/news/stability-ai-defaulted-on-payments-to-aws-owed-google-cloud-and-coreweave/

• Microsoft laying off employess due to AI costs:

https://finance.yahoo.com/news/microsoft-layoffs-hit-coders-hardest-184348914.html

• No one in Silicon valley knows if AI will ever be profitable:

https://www.theatlantic.com/technology/archive/2024/07/ai-companies-unprofitable/679278/

• Microsoft is experiencing a "oversupply" problem with AI: https://www.google.com/amp/s/www.theregister.com/AMP/2025/02/24/does_microsoft_pull_back_on/

• Microsoft laying off employess due to AI costs: https://finance.yahoo.com/news/microsoft-layoffs-hit-coders-hardest-184348914.html

• Amazon following Microsoft in cutting back AI datacenters: https://gizmodo.com/amazon-follows-microsoft-in-retreat-from-ambitious-ai-data-center-plans-2000592217

• 5% of US jobs will be effected and will boost the GDP by 1%: https://mitsloan.mit.edu/ideas-made-to-matter/a-new-look-economics-ai

AI power demands are increasing, not decreasing: https://www.sciencedirect.com/science/article/pii/S2542435125001424

AI query calculated by power usage (inference is not going down either): https://www.technologyreview.com/2025/05/20/1116327/ai-energy-usage-climate-footprint-big-tech/