Luria: CoreWeave is the poster child for unhealthy AI debt financing
Gil Luria · AI Bubble Special Report: Debt, Depreciation, and Losses — With Gil Luria · Nov 17, 2025 · at 5:43
Gil Luria, Head of Technology Research at D.A. Davidson, discusses debt-financed infrastructure buildouts in the AI sector.
0:00 / 0:31exact quote · 31.6s
▶ Watch the full episode on YouTube → 720p mp4 · rendered on demand · StarZero watermark
“CoreWeave, which is the poster child for the bad behavior that I'm talking about. We're talking about a startup that is borrowing money to build data centers for another startup. They're both losing tremendous amounts of cash, and yet they're somehow being able to raise this debt capital in order to fund this build out again, without having the customers or the visibility into those investments paying off.”
quote is from the automated transcript, cleaned for reading: filler sounds and stutters are removed, nothing is rephrased. names can be misheard (the analysis reads context, assessments check outside sources). how →
More from Gil Luria
Luria: Palantir is the best company in the world right now
“Palantir is the best company in the world right now. I'm not gonna even say the best software company. They're the best company in the world right now, because what they're able to do is go into a company and ask them, what's your biggest need right now? What …”
Luria: Falling GPU rental prices could trigger systemic AI debt defaults
“If we are here two years from now and there's hundreds of billions of dollars of debt, And the demand for AI stabilizes, or we built enough data centers to support the demand we have at that point in time, and the price for leasing pieces of AI for renting acc…”
Luria: OpenAI's $100 Billion 2027 Revenue Projection Is Completely Disingenuous
“So for them to say, oh, we're gonna have a hundred billion dollars of revenue by 2027, which Sam Altman just did, is completely disingenuous. He has no idea. He's competing against much bigger, more powerful companies that have technology that's at least as go…”
Luria: Three-year GPU depreciation would drastically cut Oracle and CoreWeave profits
“If you told Amazon and Microsoft, and certainly if you told companies like Oracle and CoreWeave, no, no, no, no. These chips will only generate meaningful revenue for three years. Their profitability would decline very dramatically. So again, from Microsoft, A…”
Luria: Three-year-old AI chips will not generate sufficient revenue to run
“And that's where we think in a three year timeframe, three year old chips will just not be able to do enough computations to be worth keeping them on. So either we replace them or we use them for much less important things. That will generate much less revenue…”