AI Is Turning Big Tech Into a Commodity Business

Zach Abraham argues AI's massive CapEx race is turning monopolistic hyperscalers into low-margin, commodity-like competitors with no proven profit model yet.

• AI commoditizing Big Tech: Zach Abraham argues hyperscalers—once siloed monopolies with network-effect moats (Meta, Google, Amazon, Microsoft)—now directly compete for the same AI customers and compute, eroding pricing power like commodity producers.
• No proven AI profits yet: Abraham says nobody has proven AI can generate profit, only endless CapEx demand, and warns a cheaper Chinese chip at 90-105% of NVIDIA's capability could spawn another investment cycle.

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