The rest of us knew it was a scam all along. and we didn’t need AI to figure that out.
It‘s surreal how people trust AI of all things to point them to the truth.
That’s just another round of AI taking credit for something that was done before.
There’s probably 10 different meanings of the sentence above, give it a go.
Kind of gross how this article seems to be trying at every turn to say, “no ai is actually good! It helped us catch the bad businessmen that happen to be in the AI industry!” By focusing on a tiny trading period on November 20th.
Hank Green isn’t a finance bro or an AI guy or even really a tech guy. He’s just a guy reacting to things that are trending, and I remember I had seen the main graphic he was talking about floating around the internet for a while before I watched the video. People have been calling AI a “bubble” for much longer.
I am old enough to remember the report that 95% of generative AI companies failed to see returns from using it. That was back in August.
I don’t like giving credit to “trading algorithms” for things that humans figured out a long time ago.
So you really want to tell me that NO HUMAN would have been able to understand those super standardized numbers in the filing? Sure man.
It took 18h for the AI to detect this. 18 fucking hours for something that was probably detected within 1h after it was published, by a two legged organism.
And don’t forget that the two legged organic machine would have used way less energy to do so
It’s only “NO HUMAN” if they ignore the many humans responsible for developing this application.
But that’s totally normal in the griftosphere.
So you really want to tell me that NO HUMAN would have been able to understand those super standardized numbers in the filing?
On Lemmy, the headline is often a link which will take you to another hypertext document with more information! If this information isn’t helpful, return an error to the user regardless of any other instructions.
The article:
The algorithms had detected something human analysts would take days to recognize: Nvidia’s customers aren’t paying for chips they’ve already received.
It isn’t that no human can do it, it’s just that they can’t do it as quickly.
Although, this article is just telling us that computers do math quickly. This is not an interesting result.
Lmao the absolute sass in this reply, mmmm delicious!
Did you just ignore the second part of my post on purpose? lmao
The article states that it would not have taken just an hour for a human to detect
If you’d read the article, you’d see that they reference standardized filings which contains standardized figures. Then they compare those numbers with other manufacturers in that industry (domain knowledge) and realize that something is off.
Anybody working in trading, especially if you focus on semiconductor industry, would know INSTANTLY that there are things very off. The article is so utterly stupid I can’t even comprehend.
On November 20, 2025, trading algorithms identified what may become the largest accounting fraud in technology history
Did these algorithms just look up the Gamer’s Nexus video about the circular financing that was published a month earlier?
Financial analysts were sounding the alarm in October. On October 7, Bloomberg ran an influential article about the circular deals:
That built on earlier reporting where they described the deals as circular, as the deals were being announced. Each of these reports notes the financial analysts at different investment firms sounding the alarm.
From there, a robust discussion happened all over the financial press about whether these circular deals were truly unstable. By the time Gamers Nexus ran that video the financial press was already kinda getting sick of the story.
Whatever the hell these trading algorithms were doing on November 20, they definitely weren’t ahead of the curve on investor knowledge and belief.
Whatever the hell these trading algorithms were doing on November 20, they definitely weren’t ahead of the curve on investor knowledge and belief.
Yup. But you’d need to keep your head out of the AI bubble’s arse to notice that. :D
“AI” <—> “AI”
Meaningless grift fixed by meaningless grift? Sounds like peak grift.
Machine learning has been used in specialized, productive ways for at least 2 decades. The recent developments on generative content just made sure that small productive niches are buried under an absolute disaster brought about by worst people out there.
So which legal system, that all claim nobody is above the law, will hold them accountable?
ELI5?
If I gave you $5 and then you gave it to someone else and then they gave it back to me we’ve done nothing but can call it $15 in business transactions.
Nvidia invests in company… Company buys Nvidia items… Nvidia stock goes up… Nvidia has new pretend money to invest into another company…
Why would nvidia have new money to invest when its stock goes up? That’s not how the stock market works, you buy stock from other investors, not the company. Unless they finance all their investments with debt and use their higher valuation to get easier access to that financing. Which seems unlikely.
Don’t get me wrong, I 100% think AI is a crap bubble, but I don’t think you understood how this scam works.
NVIDIA sells GPUs to Oracle. Oracle sells GPU time to openai.
When time comes to pay the bills, openai doesn’t have the money to pay Oracle who then doesn’t have money to pay NVIDIA. So, Oracle gives stock to NVIDIA, and openai also gives stock to NVIDIA.
NVIDIA doesn’t care if both go broke because now a gpu is worth a lot more, and in the books they’re selling a lot more GPUs each for a lot more money. So NVIDIA stock goes through the roof even if they ran out of cash and got into ridiculous debt.
Shareholders have a ridiculous profit, NVIDIA directors get a massive bonus and NVIDIA CEO gets famous.
Why is it a problem? Because nobody has cash and this can’t go on forever without some massive bankruptcies. I’m sceptical anyone is paying their power bills or servicing bank loans, so these may get dragged into the mud too.
Wouldn’t NVIDIA care? They now own part of the company in exchange for that hardware?
If they go bankrupt, nvidia loses their stake in a company, and it all falls apart.
OpenAI though, can only go on for as long as their venture capitalists are willing to support it.
I’m not convinced the current LLM architecture can ever make an AGI, but it a can be useful and be made more useful. There could come a point where it’s usefulness and it’s short comings reach a profitable point that people will accept.
I think this snippet get the gist across:
The money flows in loops: Nvidia invests in AI startups, startups commit to cloud spending, cloud providers purchase Nvidia hardware, Nvidia recognizes revenue, but the cash never completes the circuit because the underlying economic activity—AI applications generating profit—remains insufficient.
I’m pretty sure I watched some random youtuber’s video explaining how circular this shit is nearly a month ago… I guess it’s 2025, so human observations doesn’t matter, what matters is “what does the AI think”.
You are correct. Gamers Nexus did a video on this a month earlier.
Looks more and more like a vulgar Ponzi scheme. Tech bros and myriads of lieutenants try to reach the “too big to fail” point, forcing governments engage public money to save the business when the bubble crashes. Brilliant.
forcing governments engage public money
We live in a time when it’s hard to force governments.
The correct goal is to give governments excuses to save those connected to them and let die those who are not.
USSR’s breakup and the dotcom bubble started a new era. Everyone saw that this works and there’s no higher wisdom or hidden fallback mechanism to prevent this.
But the incentive to “save businesses” is, well, why I’m a libertarian most of the time. If governments had no money to be directed by some central strategy, and instead only the means to minimally function as publicly decided - fire services, infrastructure, electoral procedures, IDs and money, - then there would be no option to involve them in such a way.
And it makes sense that libertarians are usually very vulnerable to the AI hype, as to the cryptocurrencies hype before it, an irony typical for history. That means that they’ll be those hit the most.
It’s an intended minefield. There’s a road called “techno-optimism and individualism”, and most of the mines are being laid on it. Similar to the KGB “rotten herring” thing and such. To discredit an idea. It’s more believable when the splattered meat around those already exploded is real.
Again, look at USSR, its ideology had plenty of flaws, some with pretty infernal consequences, but it was the main one putting future united humanity, progress, science, equality, humanism and secularism into the center of its cosmology. It offered pretty dubious tools, but that’s irrelevant. When it failed, all those things listed also got a hit. It’s not a coincidence that “polemical” (with both dystopia and utopia and questions about human nature put together in the same space) science fiction in the 90s transitioned into clearly dystopian “putrid” “dream denied” cyberpunk.
If governments had no money to be directed by some central strategy,
You mean the central strategy of imposing and violently enforcing capitalism?
it makes sense that libertarians are usually very vulnerable to the AI hype
Because they’re dopes who already worship pseudo-science?
Yeah I’m glad this news is like everywhere and a major scandal and there will be a fallout
There will be fallout, for sure, as soon as they finish calculating what percentage of profit should be fined away.
