The AI sector faces a severe capacity crunch, with Google's cloud unit backlogged by $460 billion in undelivered contracts.
Google leases $920 million/month in computing power from SpaceX to address infrastructure shortages, mirroring deals by Anthropic.
Meta shifts to its own Muse Spark model to reduce reliance on rivals like Google and invests $600 billion in U.S. infrastructure by 2028.
AI industry consolidation raises concerns as Big Tech giants control both models and infrastructure, leaving smaller players at a disadvantage.
The battle for dominance in artificial intelligence has taken an unexpected turn, as Google has reportedly imposed restrictions on Meta's access to its Gemini AI models. According to a Financial Times report, Google notified Meta in March that it could not fulfill the social media giant's full request for computing capacity, disrupting a number of Meta's internal AI projects. The move has raised fresh questions about the fragility of AI infrastructure at a moment when tech giants are racing to control the future of machine intelligence....<<<Read More>>>...