Coffee and prices. Does it add up.

There have been so many articles today with coffee in mind. One was the Price of coffee is down. Jim Roemer a Meteorologist Is asking if coffee prices have bottomed

Have the Fundamentals Affecting Coffee Prices Bottomed for Now.

However, Brooke DiPalma Senior Reporter asks another question and it leaves the reader confused if you commonly look at news for coffee.

Coffee prices keep rising, and chains like Dutch Bros are swallowing most of the costs

Right now if you look at the spot commodity price there is a seperate story here. Jim Roemer, Likely sees that crops last year were affected by multiple things at once. Tariffs, Crop Failures , Weather issues. Jim is likely a better man to see this because his titles are vast. He Pluralist that can read both sides of the story. If you line up his skills Meteorologist, Commodity Trading Advisor, Principal, Best Weather Inc. & Climate Predict – Publisher, Weather Wealth Newsletter and Climatelligence. If he starts talking about markets I am likely to listen.

Now the fast food coffee prices are skyrocketed, Starbuck stopped selling coffee and is doing the $9 coffee “Experience” , the Coffee sellers of the drink are testing the markets of seeing how far they can press the price of the cup of coffee to the person. Its bullshit, I don’t want an experience, I want a coffee that’s it . No experience.

But these companies want a SAAS(shit as a service) , they want you to come in and “experience” a coffee rather than drink a coffee. Honestly, they are protecting their profits because prices have gone down, When the tariffs hit they burst priced the coffee and claimed tariffs, if anyone has done their homework tariffs are not an issue at this point. The coffee crops at this moment are 100% better than last years.

The thing is prices spike and than they feather fall downwards where the corp earns huge profits to the unknowing. The thing is … If even 5% of people even followed the commodity markets and mass messaged Starbucks and said “Hey . why are you charging so much for a coffee when the markets have gone down 25%” it would have CEOS and boards cringing in their seats on social media.

To which end even the home coffee has come up in price but not nearly as bad as the “cup”.. at $18 dollars a container its gross, The prices have stayed up since the tariffs hit and has not gone down by much more than a few cents. It’s all bullshit and another SAAS to force the consumer base to follow and eat the prices. I do understand the swing in contract prices and often they are delayed but, even this far along the prices should have dropped.
I am not going to drop 10$ for 2 coffees when I can just brew a whole pot at home.

Attributions from:

Yahoo Finance: Coffee prices keep rising, and chains like Dutch Bros are swallowing most of the costs
Trading Economics: Coffee Spot Price
Bar Chart: Have the Fundamentals Affecting Coffee Prices Bottomed for Now?

Buy Now: pay later gas is a bad idea..

National Gas Tax suspension to fuck you over later, they are looking to suspend the tax.The current tas is at 18.4 cents a gallon. Notice the wording suspend. Not stop, likely they are going to not collect it and than raise it to 36.8 cents to make it back . Basically they are just giving you a defered loan.

President Donald Trump and congressional Republicans are proposing suspending the federal gas tax amid soaring prices at the pump caused by the war with Iran.
The gas tax is currently 18 cents per gallon, and gas prices in the U.S. are about $4.50 per gallon on average.
Voters are souring on Trump’s economy ahead of the 2026 midterm elections, and high gas prices are only adding to consumer discontent.

This is a deferment of 112.4 million a day!

Trump said in the Oval Office on Monday that he would “reduce” the tax, shortly after saying in an interview with CBS News that he wants to pause the tax “for a period of time.”
“I think it’s a great idea,” he said in the CBS interview. “Yup, we’re going to take off the gas tax for a period of time, and when gas goes down, we’ll let it phase back in.”

Sure, the Administration will defer it till the next election and blame the democrats when a billion dollar bill is due back at the pump. People have no idea how much this would affect the national infrastructure system, all of the bridges, other things that would fall into disrepair due to federal funding being frozen due to this.

Trump cannot declare a gas tax holiday alone, since Congress has sole authority over taxation. But several Republican lawmakers on Monday floated suspending the gas tax, which clocks in at 18.4 cents per gallon, the same amount it’s been since 1993.

This is unlikely to pass, but this gas lay-away plan will hit the pumps when you least expect it.

Sen. Josh Hawley, R-Mo., on Monday said he would immediately introduce a bill to suspend the federal gas tax in a post to X. And Rep. Anna Paulina Luna, R-Fla., said she would be “introducing a bill in the House to suspend the federal gas tax in light of Trump’s recent remarks.”
“American families need this relief on gas prices. My office will be working directly with President Trump to ensure we deliver this win for the American people,” she said in a social media post.

This is not relief, this is Gas HELOC plan. It will come back with interest later, because the 112.4M a day gains no interest, It is just a payment plan that is put back on the national debt. The other thing is if you look at the highway Adminstration, the infrastructure money will run out just before the election and who over gets the handoff on “The roads are falling apart” will be the media screaming for months.

Anna Paulina Luna, R-Fla “American families need this relief on gas prices. My office will be working directly with President Trump to ensure we deliver this win for the American people,” she said in a social media post.

This is not relief. its like a fart with the gas prices.. By holding the fart you save current environment because it seems not to stink, but it when comes to release and if you try to force it (collect the federal gas tax deferment) it gonna stink like when you are sick and can’t hold it anymore, and you try to let a little out and you shit yourself..

Gas prices in the U.S. currently sit at about $4.52 per gallon, according to AAA’s national average, approaching the highest recorded average price of $5.02 in June 2022. Slashing the federal gas tax would bring that down to roughly $4.34 per gallon.

This is just is a credit card at the pump, you save 18 cents at the pump and by the time the next time it comes to collect the taxes you’ll have to pay 36 cents because of interest.

In the end with a 14 gallon tank you save $2.58 and you can maybe afford cheap gas station coffee, that you have to pay back later. It’s a sham if they defer costs.

While the bill has not been filed yet. this is my thought on a gas tax moratorium to delay or defer gas taxes, in the end it will effect more than saving on your gas.

Attributions from:

CNBC: Trump, congressional Republicans float suspending federal gas tax amid Iran war

Starbucks has no Feel for the current state of the world.

Is $9 for a Starbucks coffee a “premium experience?” The company’s CEO has defended it as such

$9 coffee?! NINE FUCKING DOLLAR COFFEE?! Moreover the Premium Experience? I want a coffee not a fucking show. I walk in to dunkin donuts and I walk out with a coffee in less than 3 to 5 minutes. Starbucks, You walk in to music that is almost too loud, 12 influencers mobbing the cake pops, A line 10 deep, 6 people waiting for a coffee, A dog and Usually a layout that makes you wonder who got drunk with the floor plans.

He explained that Starbucks is doing “really well” with Gen-Z and millennial consumers, and that the K-shaped economy — which refers to the growing disparity between high-income and low-income Americans — is not impacting Starbucks’ business, where the “average spend” is just under $10.

My guy I want my coffee flavored coffee, in a cup , not be given a sonnet , a poem or any other shit. The fact that Starbucks CEO Brian Niccol thinks getting a coffee is an experience. Starbucks trying to sell coffee as an admission fee is the same shit as software as a service. if a person drinks 1 coffee a day from starbucks 5 days a week. You are spending more than 2,349 dollars in a year.. for the same amount you can buy a BLACK&DECKER CAFÉCRAFT 12-Cup Coffee Maker for 30$ and 178 Cans of Maxwell House Smooth Bold Dark Roast Ground Coffee, 26.7 oz Canister for 13$ a Can.. 601 pots of a coffee if my math is right. Meaning A pot of coffee every day of the week and leaving enough room for Almost 2 pots every 3rd day.

The thing is , Brian Niccol Is not throwing this out for the Adults, he is throwing it out there for the “Influencers” and “Starbucks kids” He knows they will make a run on this because its a “premium coffee experience” because once the blind huddled masses hear about an EXPERIENCE.. they will run for it like the glass bear mugs that nearly get people killed at christmas.

“And then in other cases, people believe, ‘Well, this is a really affordable premium experience,’ because they’re saying like, ‘Well, it’s less than $10 and I get a really premium experience,’” he continued.

You want a premium experience? Stop drinking starbucks coffee for 24 days and Buy Dunkin instead, than with the leftover pay up front for 1 year of netflix up front. This is targeted at tiktok viral trends and sephora kids.

Niccol was named CEO of Starbucks in September 2024 and has since focused on improving the customer experience, including by installing better seating and creating a smoother pick-up process, according to The WSJ.

They forgot literally the stealing kids money for Niccol, The man should be renamed to Niccoltine, he just wants trend addicts to flood his store.

As for me, I’ll be having my own premium experience making my own coffee and using my own flavorings for 1/10th the price of the starbucks “Experience”.

Attributions from:
Finance.yahoo.com -Trouble brewing for Starbucks CEO who calls $9 coffee an ‘experience’ to immediate internet backlash

Hyperscaler AI Earnings Calls Today .(updated)

Today will be interesting, we will learn how much large corps are going to play the shell game with earnings.

Amazon (AMZN) will report its first quarter earnings alongside rivals Google (GOOG, GOOGL), Meta (META), and Microsoft (MSFT) on Wednesday, with investors looking for more signs that the company’s massive artificial intelligence spending is paying off.

My personal feeling.. No. However this does not stop them from playing the shell game of hiding costs and contracts that have not been put to action yet. These companies account for 650 billion of cape ex spending.

The problem here is the market is betting the farm on a large loss leader. Big Tech knows this and they are trying to engineer there way through this problem by throwing more money and more power at it . AI as it stands right now is about as efficient as a 16 cylinder engine with only one sparkplug working. The problem is with AI being a subsidized land grab at the moment the scale is not fit for its current market. With A Slop being the top thing with AI right now and your average query to AI wasting enough power to light a lightbulb for months. In part why the Sam Altmans and the Bill Gates of the world looking for nuclear power plants to offset these cost to the of thousands of GWh of power.

Right now with power costs soaring, the cost per query is not sustainable, When your average British person can warm there tea 50 times over for a slop query. The problem here is the rate of return on LLM’s is degrading, as LLM’s are looking for more training data they are getting flooded with the very slop they are creating, The people now jailbreaking and hijacking AI’s to act like spongebob squarepants the sexy pirate is filling AI’s systems with irrelevant data to the point its becoming its own fever dream. So the 650B investment is poisoning the future well of returns.

For the quarter, Amazon is expected to report earnings per share (EPS) of $1.62 on revenue of $177.2 billion, according to Bloomberg analyst consensus estimates. The company saw earnings per share of $1.59 and revenue of $155.6 billion in Q1 last year.

Sure a revenue of 177.2 billion. but they are spending like they have a blank check. Eventually when that check clears will Amazon have enough in the bank to cover the check. When Returns on AI is only 15b the rate of return is much slower than the spending. They are building out now and hoping that the machine will have a return later or get bailed out in the end. We’ve heard this all before “too big to fail”. To any person that knows what that line means they just clenched their anus.

But in the end these calls will be interesting, If the earnings call shows a positive it shows that these companies are playing the shell game. Amazon is only getting 15b return per quarterly run shows that the math is flawed. To get that expensive back that will take 3.33 years, if Amazon stops investing today.

And the final flaw is , What if some other game changer comes out of a garage that has a home grown AI out of there garage that makes all these data centers look like nothing more than space heaters for towns. Deepseek has constantly outdone large llms for less than 5% of the money and that’s a secret that the hyperscalers hope you don’t see.

Anyways.. back to my morning coffee.

Quotes and attributions taken from: yahoo finance: Amazon Q1 earnings put the spotlight on AI spending and revenue

Post mortem: It would appear that all of the companies are posting strong numbers. How long this will last is the greatest question. Further is the biggest question. Metas numbers was the 8k layoff and 6k closed positions a part of there jump?

Every company beat there expectations, what does that mean to the little guy. Absolutely nothing. no lowered prices, it just means some CEO was able to light there cigar with a 100$ bill today.

Alphabet (GOOGL) $5.11 (Beat), Amazon (AMZN) $2.78 (Beat),Microsoft (MSFT) $4.13 (Beat), Meta (META) $6.71 (Est).

Let the market cannibalization begin – Meta fires 14k people…

In order to show some sort of profit, meta is firing 10000 people and closing 6000 open positions, This is biting off your arm to save your foot.

Meta said on Thursday it plans to lay off roughly 10% of its workforce, or about 8,000 people, the latest in a string of tech industry layoffs fueled in part by artificial intelligence.

The company is also closing around 6,000 open roles, Janelle Gale, Meta’s chief people officer, wrote in a memo published by Bloomberg that Meta confirmed to CNN.

This is insane. They are firing workers to replace with AI , the problem is AI can’t walk, it can’t improvise its position, and lastly without AI the only innovation they get is AI hallucination.

The company has also been splurging on talent for its superintelligence lab and has acquired buzzy AI startups like Moltbook and Manus as part of its ongoing efforts to compete with OpenAI and others.

The problem here is that in the past Meta had people working on all sorts of things. now they are doing a ground level overfocus and are putting all of the eggs into one basket and I feel like the payoff is not going to be what meta wants. Give or take companies are all jockeying for position to hit the innovation jackpot on AI. the problem is most of the companies that are playing the CAPEex game is doing it by scaling and not code.

Amazon said in January it would lay off 16,000 workers, its second large-scale layoffs in three months, emphasizing the need for efficiency. fintech firm Block’s announcement in February that it would lay off 40% of its workforce, more than 4,000 people, Meta CEO Mark Zuckerberg hinted at the start of this year that the company, which has invested heavily in AI, could see workforce changes because of the technology. On Meta’s January earnings call, he called 2026 “the year that AI starts to dramatically change the way that we work.”

“We’re starting to see projects that used to require big teams now be accomplished by a single very talented person,” Zuckerberg said.

Here’s my counter-point to this, You fired 16000 positions, if this person is supposedly replacing that many workers, what happens when your Very Talented Person gets sick? Or, a power outage? Or, LLM data loss. Now if your Very Talented Person gets sick your output goes from 14000 to … 1 , Whereas before one person gets sick your output goes from 14000 to 13999. And lets just say for instance the person that would of replaced your Very Talented Person makes an innovation that improves working by triple, you end up having your Replacement guys efficiency 13999 to 41,997.

Like many big tech companies, Meta eliminated tens of thousands of jobs in 2022 and 2023, reductions that were largely attributed to right-sizing after Covid-era spikes in usage and hiring. Last year, the company said it would cut about 5% of what it called its “lowest performers,” although it planned to backfill many of those roles.

This is not right-sizing, this is full on cannibalization, Everyone is jumping for the AI goldrush while some chinese man in his garage is laughing at the Cape-ex and deepseeking the best coffee ideas.

Attributions from: CNN.com Meta to cut 10% of staff as it pours billions into AI

Microsoft officially says you don’t need extra antivirus on Windows 11, Sure… and houses don’t need doors anymore.

In a blog post, Microsoft says Defender is enough for most Windows 11 users. No extra antivirus needed if you keep defaults enabled and update regularly.

Microsoft might be right, but instead they are so wrong here, The average computer problem exist between the computer and the chair. Even the most security minded individual can find themselves trapped in a moment where they have to wipe their entire PC out due to one misclick .

Give or take even if you have a secure version of windows they are assuming you never install 3rd party software, Never update your drivers and never have the computer on the internet with the computer locked in a scif. Otherwise, the second you are on the internet, Microsoft is leaking a shit ton of telemetry on your computer to the world.

if you never take a risk ever with the computer, You should be “fine” however you go to site to download common safe software and you get to play roulette, four different download buttons two chain off to different sites and one gives you the computer STD.

From the second you enter in your information for your windows 11 , Windows(microsoft) is already messing around in your cupboards taking inventory so if you have a stash of photos of your family Microsoft has already taken that and moved it to onedrive without asking much… well they did but they did a batch accept on all microsoft logins and by the time you violated some privacy policy or moved a picture of someone who did not want to be on the net it is already there with a shared use from microsoft. Given the fact that MS leaks this much out of the box anyone trying to hide from domestic abusers or worse there is a major chance to leak and leave yourself out in the open.

The other thing is , if there is a 0-day exploit on a wednesday, You have to wait till next tuesday until MS patches windows defender to update the definitions. With mainstream AV programs , it could be as little as hours until the AV updates to stop the 0-day.

Also bad websites are telling people to put commands in the “search” which in reality just fucks you over by installing spyware where you might just kiss your bank account goodbye. NEVER run anything a website asks you to do in a search bar.

But to make Microsoft’s Assertion accurate. You turn on the PC , Never Log it in. Air gap the updates to it . Never connect it to the internet. destroy bluetooth and Wifi Cards. Otherwise the second that PC thinks its on a network it shouting into the ether on IM HEEEEEEEEEEEERE.

Not to mention, Microsoft undoes any safety margins you have created every time it updates. Deleting onedrive from the system is like trying to get rid of lice with butter, it just doesn’t work. It switches you back to Edge and tries to import anything from other browsers back to edge. Microsofts security is part of the whole, if you must run it , Get Malwarebytes , on a secondary level do not be afraid to run another anti-virus to be double sure. if your PC is acting strange, don’t just assume that everything is ok. Google occasionally fails at spot checking their own sponsored links. That vector can lead to the fastest accidental system infection.

The worst part of the whole thing is Microsoft claims to have made everything easier, it has made it where as long as you invite the vampire in by either command line or installed software or even microsoft themselves they are free to do what they want and microsoft defender won’t look up from looking at the magazine it’s looking at.

A single misclicked installed chrome or edge extension can lift your entire saved password folder without even as much as a thank you.

In the end Microsoft is saying you can have the safest PC in the world, Just don’t use it, move it to an island without internet nor power and your fine.

AI and how much it increases your costs.

This here is a tracked price of an SSD from amazon that clearly shows how much AI is driving the price up for every human in existence. to replace the SSD in a cheap computer now costs more than the cheap laptop or computer you bought in 2024. It eradicates any advantages in buying consoles and more.

The ANTI-Anti AI crowd, When claims are hallucinated.

Matt Novak Starts his article with ” The AI Doomers Who Are Playing With Fire: For years, the dangerous rhetoric has been out of control. And things are turning violent.”

Well now that is an opener. Novak says on how chatGPT burst on to the scene and lays up how AI companies went to congress to told them,  That the technology that posed imminent risks to society. AI had the power to destroy the entire world. These AI companies went to congress and they wanted to be regulated now rather than later, because receiving regulation now is easier than getting regulated later. metaphorically its easier to destroy a door than put one up.

No supposedly AI Execs are telling everyone to calm down over AI.

Chris Lehane, OpenAI’s global policy chief, sat down for an interview with the San Francisco Standard this week in the wake of at least one attack on CEO Sam Altman’s home.

What is the grammatical formation of this sentence? “in the wake of at least one attack” what kind of word soup is that?

Moreno-Gama was carrying an anti-AI “document,” according to police, suggesting his motivations were related to concerns over artificial intelligence and existential threats. The Wall Street Journal reports that he had called for “Luigi’ing some tech CEOs,” a reference to Luigi Mangione, who’s been charged with murder for allegedly killing UnitedHealthcare’s CEO.

While Moreno-Gamas attack with a firebomb was deplorable , it makes me wonder why he did it , and what was this “document” the way “document” is framed in this sentence as well is kind of weird. Also for notation here, the firebomb struck a metal gate. Not Altmans house.

There was a second incident involving a firearms discharge at Altmans house. This is an incredibly long lead in to get to the meat of the article.

The so-called AI doomers simply aren’t being sold properly on the benefits of this new tech, Lehane argues. “Our job at OpenAI and in the AI space — and we need to do a much better job — is to explain to people why … this is going to be really good for them, for their families and for society writ large,” Lehane told the Standard.

The So called doomers are seeing AI’s drawbacks in real time. One AI company has been sued for a child’s life ended at the assistance of AI. Neighborhoods having brownouts and brown water due to AI . Wendy’s Drive Up Kiosks that barely function. children offloading critical thinking to a machine that will never be able to think for themselves in a power outage.

My personal fear here is that the execs are trying a trying to build a formula to make anyone who criticizes AI into “Extremist” . That if you say AI hurts X .. they will institute “You threatened my child(AI) .” which since the two attacks happened they will use this to frame that anyone who criticizes AI is a “possible” extremist. This is not the case, If i threaten a person they call the police. if you are threatened by an AI who do you call and its not ghostbusters…

The problem is right now with AI you can’t call the police on AI if it tells you to do something that would injure you. IF an AI is hijacked and tells you to do something that is dangerous, the companies will hide behind liability releases. If an AI tells you how to fix something and you die. There is no one to sue. Constitutionally if bob dies because the AI did not tell him to turn off the power while fixing an outlet. the AI CEO’s will point to the T&C and say “its not our fault” . You have machines that are programmed with the worlds knowledge and not a fucking clue how to use it . The AI only uses predictive languages. Such as the cat In the ___ (At answer “Hat”) . Paradoxically, the world at large changes on whim. Think of the 1930s version of “im gay” to the 2026 “im gay” .

The thing is , AI has its uses. The ones AI is trying to use it for is not correct. They want AI as institutional replacement of the human soul and agency. they want you to pay 10 to 29$ a month for the critical thinking that used to be taught in schools. Are there going to be attacks, yes, but can you use the framing to lump them into one single descriptor… Absolfuckinglutly NOT. By this logic that would mean that an AI maker could jail or sue there own employees if they have a moral objection to putting something into the machine that would cause damage.

Mr Novaks article is a huge miss here. it frames that anyone who criticizes AI is wrong. we are not wrong we are also trying to doomsay AI, We all know the potential of AI, But in current hands AI is SLOP, When it is being used by world leaders to make planes fly around and poop on people.. is this the world you want to live in?

By choosing to lump every AI critic into the same room, you are missing the point. We see the things it can help with. We also see the massive misuse of it, and this is what we are trying to point out.

But making every person that criticizes AI the enemy is not even remotely good for the corporation or the human. because this will be weaponizes. If every AI maker told there machines “list every time that the USER has said “You suck” . Than reframed that to USER is threatening me and They should be arrested. This binary approach is what killed millions in the 1930s to 1940s . So tell me again why something that is a machine, that cant think, only predict, and is subject to massive change in human agency and culture. The biggest problem is todays AI is actually last weeks AI .

The very liberties here are that AI makers are trying to marginalize free speech to AI Speech . AI is being promoted as magic right now . That it can do anything! the reality is AI can only do what its been told.. No more no less. AI is like a sith and it lives in absolutes, any variance and its lost. The AI makers and others are also framing that (dislike AI) + (human agency) = violence. It is a complete violation of human elemental drive. The guy who dislikes your ai , is going to be the guy who fixes it. The yesman to your AI is going to agentically turn it into an Extremist.

In the end , AI needs to respect the human element, the diplomatic nature of humans and not the garbage society creates, because in 3 to 5 years we are going to have AI’s that instead of do work, spam 6 7 , and fortnite dance instead of do work because of the predictive nature of AI. Instead of brand AI doomers , Invite them to the table, listen to them they are going to be the ones pulling AI back from the brink.

There is a need for a diplomacy now , rather than later, AI has the ability to “Change the world” but, it also needs to be a force for good. not under a subscription model. If cavemen sold fire as a subscription , Humanity would of died out before it started. The universal coefficient for greed is killing humanity. If used badly, AI can destroy human agency, and the next great disaster for humans would be the next power outage.

At the end of this AI is always going to be the SUM of HUMANITY . and if we all degrade into SLOP producers , AI becomes the SLOP MAKER. So pitching AI right now as the next replacement is a sin that many see as cost saving but they do not think past the AI prompt. Your Wendys order in tokens for the AI if you speak in broken language likely just took up 25% of the cost for the order. The AI removed the human intuition, The wendys worker that saw a tour bus pull up and he throws on extra fries as the 88 people form the bus comes to the door. The Wendys person that now has to play AI interpreter because the AI thought it heard its wants an order of burger that Tries.

If we move forward in the rollout of AI, ethical diplomacy becomes Machine subserviency , Human foresight becomes an obstacle. Human critical thinking gets disassociated to the machine and possibly lost forever.

I think that this article poorly frames the ideas of why people are critical of AI, by framing the few extremist as the majority. It is a diplomatic dishonesty that they are focusing on. There is a real chance here for AI companies to align with people with foresight, not come out with AI underwear or AI Soda just because you can slap AI on it and think you are going to make billions. Right now companies are pushing products out the door with the word AI slapped on it, and the thing that was changed. Nothing. they just added an element that phones home and a subscription model.

Humanity is being pushed back to the age of you could not take a shit without spending a quarter. The AI Companies have seen there own models in the last year , They know the models are degrading in quality because its a feedback loop.

The thing is without the human agency in the loop, the AI will degrade and the companies know this. so its is unequivocally the 1849 gold rush that they are selling the shovels for and they know the end point already.

Quotes were contextualized from: The AI Doomers Who Are Playing With Fire , By Matt Novak @ Gizmodo.com

Rufus is failing upward.

Rufus is burning through money Like a kid with a sparkler in a gunpowder factory.

Amazon CEO Jassy defends $200 billion AI spend: “We’re not going to be conservative”

With a $15 billion AI run rate, they might recoup their costs in 13.3 years. But lets be real, they are not counting the upward costs, They don’t account for the land cost, they don’t account for hardware failure. They are land rushing and hoping they hit it big. James Wilson Marshall is likely spinning in his grave.

This is a bad idea, most people do not realize that the Slopocalypse is happening. AI companies are starting for the exits because smoke is happening. Between Claude releasing its source code, Sora melting overnight.

Rufus is going to follow Sora and Claude , out of the 200 billion with the “lion’s share going toward AI development.” Horse shit, anyone who has used Rufus knows that rufus is a very basic AI that favors trying to get people to buy the most expensive products without going through your sales history.

In all honesty Rufus will be the litmus test for pushing bad AI, They are not a centralized platform like grok nor is the AI functional outside of being a bad salesman. Rufus does not do anything other than say “i see you are looking at socks how about these socks” as it shows a 50$ pair of socks. In the economy right now we can’t afford 50$ socks. “Independent audits from January 2026 show Rufus only matches the “objectively best” product 32% of the time”. When your basic function is to (sell product)..How are you are burning 200 Million on AI? Fuck that call Wendy’s and get there bad AI , its all the same. Rufus is a digital Vampire, It doesn’t do much but where do you think it is getting its training data. At this point lets all buy condoms to screw with the LLM learning data.

This is the 1849 goldrush for the 2026 era, as more people jump in to play the AI game, the corpses of other AI miners are dying fast. for every large AI that dies, Likely 100 more smaller ones die. The Slopocalypse is here, and while you could dig with your hands in the goldrush the 2026 game is pay to play. You need to have storage that is skyrocketing in cost, Land, and obscene amounts of power to run an AI farm while destroying everything around you. The AI Farms(mines) that fail are quickly bought up and run again until they fail too. What is likely happening as well is the AI farms that are failing are being bought up by bigger AI, the problem is THE ROI IS EXTREMELY NEGATIVE.

The idea of AI is nice on paper, but when culture is making AI SLOP videos of farts our trajectory is heading towards idiocracy. The biggest question is when slop is done is there any room for advancement or has the system inwardly corrupted itself into uselessness. The part that is failing in this industry is the scaling issue, if we need an answer to something and the answer is a hallucination, the fix is not to throw more processing power at it. It should come down to a code audit.

Because models are training on themselves the slop has become the AI’s TikTok doomscoll and with the Data of a shower thought fever dream being inputted into the AI the model now makes it real and therefore a training point. Google has put in its own immune system via SynthID.

Well, Given we are watching the Slopocalypsy in real time and people Slopocalypse coffeepots might cease to function, in the end it is we the consumers that are stuck with the bill because at the end of the day the bankrupt company walks away and the land rot infects the system.

I’m off to have a coffee from my smarter dumb coffee pot with buttons and switches and no internet connection, hopefully you do the same, its cheaper!

Final note: when your run numbers are 15b with a 200b expenditure, this is cleanroom spending. it does not account for failure and other associated costs.

How’s your insider trading.

I typically don’t post political commentary, but I feel like in 2026 every time the word is at its edge we find out after a pivot that some person put a bet on the market that made them millions. For more information on this please see Coffeezilla on youtube..

the Fear index shows a weird irony. AND for the love of coffee No fucking nukes please unless you are microwaving coffee(blasphemy).