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Investors are looking to hedge against a potential downturn in the AI boom, driving up the cost of credit default swaps tied to hyperscalers. www.semafor.com/article/10/1...

16/10/26, 12:34 pm2 reposts17 likes

Semafor

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Investors are piling into the insurance contracts as anxiety grows over the huge amount of capital it will take to scale up artificial intelligence and how quickly the revenue will materialize to support it. Read more from Ellen DiMauro: www.semafor.com/article/10/1...

semafor.comThe cost of insuring against AI company defaults spikesInvestors are buying up credit default swaps to protect against default by highly indebted hyperscalers, including CoreWeave and Oracle.