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【Musk and Jensen Huang at odds? JPMorgan says hyperscale AI data center operators are in good shape, now a market consensus】

SpaceX CEO Elon Musk recently warned that 200 multiple new cloud companies will fail or merge on a large scale; some companies will survive, but not many. Musk’s warning is almost diametrically opposed to the view previously expressed by NVIDIA CEO Jensen Huang. Last week, at the GTC conference, Huang said that market demand for new clouds far exceeded expectations. Although he also noted that new cloud companies urgently need funding and are facing a funding shortage, he believed that this issue would certainly be resolved. Jefferies analysts said that Musk’s remarks triggered a new round of panic trading. JPMorgan, meanwhile, believes that the artificial intelligence debt market has become more selective toward artificial intelligence infrastructure, but is unconcerned about a broader financing crisis. JPMorgan’s market intelligence team emphasized that the credit shortage is concerning, but the current consensus is that hyperscale data center operators are in good shape, large operators will continue to dominate, and the return on investment for small businesses, including new cloud service providers, remains positive.