Submitted 3 weeks ago by CombatWombatEsq@lemmy.world to technology@lemmy.world
A company with $130 billion in cash reserves is floating 100 year bonds.
So much for billionaires reinvesting profits to trickle down in the economy. Now they hold onto profits, calling in suckers to bet for them and not promising results until all of them are dead.
We’ve all heard “it takes money to make money.” But rich people know it’s better to use other people’s money.
It’s better to use what you can use.
Well, you should consider that they plan to spend ALL of that cash on hand, PLUS the amount they have to borrow. And they plan to spend all of that in 2026. Their capex expenditures are planned to exceed their estimated operating cash flow.
Guess I won’t be upgrading my phone this year. And neither will you. Or anyone.
There were some stats floating around after the massive 210-280BN detaxation for rich people here in France, and it was that a whopping 3% was reinvested.
…you know that was always how trickle down eonomics was going to be, right? Ift has never ad will never work
I’m not arguing for trickle down. I’m using their own arguments against them.
100 year bonds to finance purchase of GPUs that fully depreciate in 5 years?
Not to mention destroying the home GPU market at the same time.
While using massive amounts of power and slurping up tons of drinkable water.
All to produce AI slop that nobody wants.
The last company to do this iirc was Motorola in 1997. You can buy them on the secondary market now for about 80 cents.
80 cents for how much initial value?
They’re actually around 80 bucks, versus an initial value of a cool hundo. But they also pay out like a 5% coupon rate annually, so if you had bought them in '97 you’d be slightly beating inflation.
This hurt my whole face, I cringed so hard. Not that it’s second-hand embarrassing, but it pains my soul that I don’t think this is an impossible future
Perhaps
TO BUY HARDWARE WITH A 3 YEAR LIFESPAN. THREE YEARS. 3.
Selling hot air heated by wasting electricity in a data center.
I’ve thought about that, actually. Could you use waste heat from a datacenter to, say, heat water for a laundromat or something?
We’re currently using waste heat in Denmark from data centres (and other industry including power plants, CHP - Combined Heat & Power) in district heating. Heat up the water and pump it down pipes to people’s homes.
My home is for example heated up primarily by a cement factory, a CHP plant, and a waste incinerator.
You would think a laundromat would use waste heat from the dryers to heat their wash water (or even the room) but I’ve never seen that.
This, juxtaposed with the fact that the vast majority of tech investment in the US is comically shortsighted, is only proving that irony is dead.
Not only irony, but goldy and bronzy too.
Not Goldy, no! Who am I going to get lap dances from? 😭
The longest portion of the offering, a 40-year bond, is expected to yield 0.95 percentage points over US Treasuries, down from 1.2 percentage points during initial talks, the people said.
Gotta be really bearish on treasuries to consider this a good idea.
a bit confusing since there are no 40 year treasuries. Even more bearish for US solvency if that is 0.9 points over 30 year.
Fr, Resist and Unsubscribe.
start a large company, force all the employees to use the cheap venture driven tokens now to get more done with less talent then fire everywhere when the bubble pops.
Traditionally, you need to find someone to loan you money with the bond as collateral. Then you promise that person the bond as repayment of the debt + interest, with the expectation that you can re-buy the bond at a future date for much less than you could today.
They are looking for the real suckers, that think things are going to continue on like this for 100 years.
I mean jesus, for a minute lets forget about climate change, and how increasing climate instability will fuel more political turbulence, how feedback loops are accelerating climate change beyond our predictions we are fed that were always undershoots to justify business as usual.
Just looking at politics and business now, the rich have taken from working people more than is sustainable. Not even directly taking, stated inflation is lower than real inflation, so we take a pay cut every year on top of everything else, and on top of consolidated industries that have conspired to increase their share of profits, and a government unwilling to enforce anti trust laws. A court system unwilling to check corporate interests, but willing to allow the government to go full nazi.
The economy is not sustainable as such. It’s getting worse for working people, that can’t afford professional services even with good jobs now. Let alone the low wage workers. Health care and drugs are beyond any semblance of reason. People have to give away their life savings for routine end of life medical problems that used to cost a reasonable amount of money.
There is no way the economy holds for 100 years. A 10 year bond might even be getting a little optimistic. The government is openly corrupt, working people don’t have the money to live a dignified life for the first time since the great depression in the US, and the rich are showing no sign of not taking exponentially more of economic output with their corrupt governments in tow.
Any fool that thinks dollar amounts are a good store of value as such to receive for the next 100 years is a sucker.
There are some very old contracts still not terminated around. From Netherlands before William of Orange, or from England before Cromwell. Those of nation-states (WWII lend-lease of the famous ones).
working people don’t have the money to live a dignified life for the first time since the great depression in the US,
The US is not even close to that. Your comment be proof of that, you don’t even understand how life was there and then, despite that being history of your country portrayed well enough in many movies and books.
That said, there are, of course, complications to be expected.
You are repeating information spoon fed to you by the ones that have changed the inflation rate to understate it, which has led us to become compound fucked to the 50th power.
A minimum wage job, 1 minimum wage job, paid for a family in 1950. Bought a house, a cheap car, doctors, dentists, optometrists, other professional services people can’t do themselves, even able to go out to eat for a burger.
After the changes, it’s become less and less true, by the 1980’s it was undeniably true that wages no longer paid for what they did. By now it is a joke, they tell us our buying power has never been higher, by the numbers that is true.
I know it feels warm and safe living up the backside of the billionaires, but there is no future going further up, come straight back and join us in the sunshine brother!
This is like that part in Don’t look up when the Jennifer Lawrence’s character tells her BF to wait 6 months before she meets his mother.
So they know that AI is going to be unprofitable for near to medium term?
they want suckers and losers to pay off googles debt for investing in the current AI scheme.
Yes, please go all in there, Google.
why can google whore themselves out in gross, unbecoming ways? but if I want a mouth hug from Tammy on the block downtown we’re gonna be under fire for striking a lil deal
Inverted yield curve in physical form?
Cool.
redditmademedoit@piefed.zip 3 weeks ago
This is some true believer shit.
Google launched less than thirty years ago.
At the current rate of deterioration, it’s not exactly certain to what extent the planet will be able to sustain human life, much less whether a much loathed spyware company will still be around to pay the bills.
20dogs@feddit.uk 3 weeks ago
Is Google “much loathed”? It’s thanks to Google that the world’s largest browser engine and operating system are both open source. Yes we can list bad things they’ve done but they’ve also done a lot of good.
squaresinger@lemmy.world 3 weeks ago
Holdovers from when “don’t be evil” was still a thing.
Both Android and Chromium are rapidly deteriorating in regards to FOSS. Yes, they are technically FOSS, but in the stranglehold of Google who keep carving away more and more freedoms.
Just consider Google Play Integrity and Manifest v3 (in regards to e.g. Adblocking) as two obvious examples.
If Google could, they’d instantly close the Android sources and remove the ability to adblock on Chromium.
stardreamer@lemmy.blahaj.zone 2 weeks ago
Our minds like to process entities/companies like Google as human beings, which allows us to assign emotions to these things. But the truth is, they are nothing but a glorified Chinese room experiment.
People made the largest browser engine and operating system, not Google. Without people, the company is nothing. A company like Google is nothing but a set of self operating rules.
I love/loathe Google just as much as I love/loathe my weekly /tmp cleaning cron job. Even if it accidentally nukes my files, it’s just doing as it’s designed to do.