AI Just Had Its “Big Short” Moment: The Unseen Crack in the Foundation

If you’ve seen the movie The Big Short, you know the story: a few perceptive outsiders identified the fundamental rot within the seemingly invincible U.S. housing market. They saw that the assets (mortgage-backed securities) were built on a foundation of sand — low-quality subprime loans.

Today, a similar story is unfolding in the white-hot arena of Artificial Intelligence. The euphoria is palpable, the valuations are stratospheric, and the belief in infinite growth is universal. But a recent, seemingly minor event has acted as a canary in the coal mine, suggesting that the entire AI edifice might be built on a shaky foundation.

This is AI’s “Big Short” moment.

📉 The “Jenga Block” That Wobbled: Lambda Labs’ Shocking Disclosure

In early 2024, AI cloud provider Lambda Labs made a stunning disclosure. They reported that a single AI customer had unexpectedly…