xAI is not making any money - it's a money furnace, so what does it mean the bid is backed by xAI ? The leverage and 'creativity' in the US is off the charts. Dotcom bubble starts to look reasonable.
And the key point in this news that punctuates the ridiculous farce that is the nature of this offer.
This is normal at this point. Netflix also wasnt making any money when it was new, same with Uber and more. You can't run in the race to the bottom if you're climbing to the top.
While other factors may be involved, that debt is shopped around assuming there are bankable assets in that DC and GPUs which are quite valuable even if the either company goes sideways.
Given what happened to the internet afterwards, dotcom bubble was always reasonable. There were a lot of idiotic companies that made no sense, but the overall idea that internet is going to generate tons of value and money was completely true.