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Why does Lutz doubt that massive infrastructure investments will guarantee AI success?

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Drawn from Lutz Finger's Forbes column, LinkedIn writing, and Cornell teaching. Sources are cited inline so you can read the originals.

Infrastructure costs drop fast. Data and users matter more.

The cost of infrastructure has depreciated rapidly, meaning today’s investments may not become a lasting barrier to entry. Pouring $500 billion into infrastructure does not guarantee success because costs drop so fast that these investments lose their protective value. The real question isn’t who has the best AI. It’s who controls the data and who builds products that businesses and people actually use. Competitive advantage comes from data access and product adoption, not just capital spending.

Stargate: The $500 Billion Message To China — The Future Of AI Regulation · Forbes


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