The insane spending, IMO, is like a land rush, people spending trillions to be the "winner takes all" in a business that is built on speculation on unknown rewards. I can predict right now that the market for oversized data centers will be a few vertical businesses (who can build their own, so that their corporate secrets, per Nadella [0], won't be digested in someone else's LLM) and government surveillance nets. (And government won't give up its secrets (i.e. Epstein) going so far as to break laws to conceal them, and secrets have to be spilled instead) [1]
Greed, ego?
[0] https://stersoftware.com/news/microsoft-ceo-warns-ai-custome...
[1] https://www.lawcommentary.com/articles/thomas-massie-epstein...