Pretty much. OpenAI will "give" AMD 78bln for 10% of the stock and the chips openAI actually wants. This whole ordeal has been publicly paraded like OpenAI and AMD partnering up, which has already pumped up AMD stock price by 45%. Thus openAI will eventually get their 78bln (which they actually never had in the first place) back in AMD stock.

So who actually pays the 78bln? The simple answer is AMD stock holders, currently the ones who have bought the stock after the announcement and later the ones who bought it before it crashed. The more complex answer is that the stock market at this point is just a speculative mess where numbers are made up because the price isn't dictated by what the company is currently capable of doing but rather what the company potentially could be doing in the future. Who knows who is actually paying for it because AMD stocks will get used elsewhere (for example as collateral in a loan) and the economic growth with absorb the costs. In short, we might as well imagine nobody paid for the chips.

In short, brace for another "once in a lifetime" economic crash.

[–] snooggums@piefed.world 1 points 3 weeks ago

The more complex answer is that the stock market at this point is just a speculative mess where numbers are made up because the price isn't dictated by what the company is currently capable of doing but rather what the company potentially could be doing in the future

The stock market has been a speculative mess where the numbers are made up during my entire lifetime.

[–] Rivalarrival@lemmy.today 1 points 3 weeks ago (1 children)

The more complex answer is that the stock market at this point is just a speculative mess where numbers are made up because the price isn't dictated by what the company is currently capable of doing but rather what the company potentially could be doing in thue future.

You seem to be under the impression it was ever anything else.

[–] Goodeye8@piefed.social 1 points 3 weeks ago

I'm already too cynical, let me be naive about some things.