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Is the AI boom eating its own tail? The strange economics of billion-dollar deals

Posted on May 3, 2026
By Business News Today
1 Views
1 min read

Is the AI boom eating its own tail? The strange economics of billion-dollar deals

Tech giants like Google and Amazon are investing billions in AI rivals like Anthropic, creating a 'Circular Capitalism' loop. Companies fund each other to buy cloud services and AI chips, inflating valuations. While demand for AI is real, these opaque deals raise concerns about genuine value versus financial engineering, echoing past bubbles.