--- title: Premium: AI Isn't Too Big To Fail | daily.dev description: Ed Zitron argues that the AI industry is not 'too big to fail,' systematically dismantling common rationalizations used to justify the AI bubble. He draws... canonical: https://daily.dev/posts/premium-ai-isn-t-too-big-to-fail-dtlx73yc8 twitter:card: summary_large_image twitter:site: @dailydotdev og:type: website og:site_name: daily.dev og:title: Premium: AI Isn't Too Big To Fail | daily.dev og:description: Ed Zitron argues that the AI industry is not 'too big to fail,' systematically dismantling common rationalizations used to justify the AI bubble. He draws... og:url: https://daily.dev/posts/premium-ai-isn-t-too-big-to-fail-dtlx73yc8 og:image: https://api.daily.dev/og/posts/dtLX73YC8.png og:image:alt: Premium: AI Isn't Too Big To Fail og:image:width: 1200 og:image:height: 630 og:locale: en --- > ## Documentation Index > Fetch the complete documentation index at: https://daily.dev/llms.txt > Use this file to discover all available pages before exploring further. # Premium: AI Isn't Too Big To Fail **[Where's Your Ed At](https://daily.dev/sources/wheresyoured)** · 18 min read · 22 upvotes · 2 comments ## Summary Ed Zitron argues that the AI industry is not 'too big to fail,' systematically dismantling common rationalizations used to justify the AI bubble. He draws detailed parallels to the subprime mortgage crisis, showing how AI startups are subsidized by VC funding in ways that make them structurally unviable without continuous capital infusion. Key data points include: only 5GW of AI data centers actually under construction worldwide, over $600M of OpenAI shares sitting unsold on secondary markets, and the Poolside-CoreWeave deal collapsing. He argues that unlike the 2008 financial crisis — which involved trillions in securitized instruments — AI's financial footprint is comparatively small, meaning its collapse would hurt markets but would not constitute a systemic economic risk. Companies like NVIDIA, OpenAI, and Anthropic are not load-bearing to the global economy the way mortgage-backed securities were. ## Full article daily.dev links to this article rather than hosting it. Read it at the original source: ## Community discussion Top comments from developers on daily.dev. **@ricardojeanpierre** · 0 upvotes > Ai definitely has its utility, but to say that it is too big to fail is an over statement. Great read. **@elmarchavez** · 0 upvotes > I've also watched a recent video from [The Infographics Show](https://www.youtube.com/watch?v=6a9L-3Hiobs&pp=ygUVdGhlIGluZm9ncmFwaGljcyBzaG93) about OpenAI's risk for bankruptcy. As a skeptic myself, I don't believe any hype until it's proven with numbers. From this video alone, I can agree that the profit-making capabilities of AI as a company is too unstable and relies on achieving AGI as its Hail Mary last straw to keep the engines rolling. > > > Who knows, maybe I am wrong. But as of the moment, I believe what the numbers are telling me and we all know money don't lie. ## Similar posts on daily.dev - [The OpenAI Bubble](https://daily.dev/posts/the-openai-bubble-dakwl1z1m) · Where's Your Ed At · 23 upvotes · 0 comments --- Tags: [#ai](https://daily.dev/tags/ai), [#llm](https://daily.dev/tags/llm), [#venture-capital](https://daily.dev/tags/venture-capital), [#openai](https://daily.dev/tags/openai) [View this post on daily.dev](https://daily.dev/posts/premium-ai-isn-t-too-big-to-fail-dtlx73yc8) ```json {"@context":"https://schema.org","@graph":[{"@type":"Organization","@id":"https://daily.dev/#organization","name":"daily.dev","url":"https://daily.dev","logo":{"@type":"ImageObject","url":"https://daily.dev/apple-touch-icon.png","width":180,"height":180},"sameAs":["https://twitter.com/dailydotdev","https://github.com/dailydotdev","https://www.linkedin.com/company/daily-dev-ltd"]},{"@type":"WebSite","@id":"https://daily.dev/#website","url":"https://daily.dev","name":"daily.dev","publisher":{"@id":"https://daily.dev/#organization"},"potentialAction":{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https://daily.dev/search?q={search_term_string}"},"query-input":"required name=search_term_string"}}]} {"@context":"https://schema.org","@type":"TechArticle","headline":"Premium: AI Isn't Too Big To Fail","url":"https://daily.dev/posts/premium-ai-isn-t-too-big-to-fail-dtlx73yc8","mainEntityOfPage":{"@type":"WebPage","@id":"https://daily.dev/posts/premium-ai-isn-t-too-big-to-fail-dtlx73yc8"},"datePublished":"2026-04-03T21:14:45.282Z","dateModified":"2026-04-03T21:15:11.102Z","description":"Ed Zitron argues that the AI industry is not 'too big to fail,' systematically dismantling common rationalizations used to justify the AI bubble. 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Great read.","datePublished":"2026-04-08T16:49:26.485Z","url":"https://daily.dev/posts/dtLX73YC8#c-9l7oB7svM","author":{"@type":"Person","name":"Ricardo Jean-Pierre","url":"https://daily.dev/ricardojeanpierre","image":"https://lh3.googleusercontent.com/a/ACg8ocIzV3PKVNSnW_C0Dqvwpl9iY3AtAeznF2AawcGEOnT0Kj4uk2nG=s96-c"}},{"@type":"Comment","text":"I’ve also watched a recent video from The Infographics Show about OpenAI’s risk for bankruptcy. As a skeptic myself, I don’t believe any hype until it’s proven with numbers. From this video alone, I can agree that the profit-making capabilities of AI as a company is too unstable and relies on achieving AGI as its Hail Mary last straw to keep the engines rolling.\nWho knows, maybe I am wrong. But as of the moment, I believe what the numbers are telling me and we all know money don’t lie.","datePublished":"2026-04-10T14:49:36.940Z","url":"https://daily.dev/posts/dtLX73YC8#c-NMWVD7cHO","author":{"@type":"Person","name":"Elmar Chavez","url":"https://daily.dev/elmarchavez","image":"https://media.daily.dev/image/upload/s--7PjH979T--/f_auto/v1780994221/avatars/avatar_bK85rJb2OXXID2LX2wi5y?_a=BAMAMiWQ0"}}]} ```