Will Sam Altman’s chipmaking gamble implode?

Is Sam Altman a Steve Jobs-level genius? Or is he just a smart guy who struck it lucky and is now about to go shopping with the global capital markets’ credit cards?

His company OpenAI has this year gone on a $1 trillion spending spree, and earlier this week signed a deal with chipmaker AMD to buy chips with a total expected value of $200 billion. Last month, Altman’s company finalised a contract with computing power colossus Oracle to the tune of $300 billion, in a deal whose risks credit ratings agency Moody’s has already flagged. These agreements followed a January pledge from Altman’s Stargate initiative to pump $500 billion into AI infrastructure.

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