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Except NVIDIA is turning the roundabout investments into real silicon, data centers and extraneous software investments (see: IsaacSim, autonomy stack etc). They may not have the returns all the investors are expecting but they are an extreme net good for the ecosystem.

I think the comparison to stock buybacks is ludicrous.

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> they are an extreme net good for the ecosystem.

Evidence?

Perhaps depends on what you mean with "ecosystem". Within the AI tech/hype, sure, there it's good. But for the economy as a whole? Is it that good? There are probably some benefits, but do they match the current valuations?

Most likely they don't, because hype cycles inherently overvaluate things for a while because they don't know what will stick. If things were not dramatically overvalued right now then investors would not be acting in their best interest.

Their investments in robotics over the long term will lead to massive unlocks in productivity that hasn’t moved in some industries for decades eg sim2real tech leading to construction robots being used to build housing with 1/3 of the human labor needed now in an industry with widespread labor shortage [1]

Will it match a certain valuation within a certain time period? I guess I don’t really care, I’m not an investor.

[1] https://www.mckinsey.com/capabilities/operations/our-insight...

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