Cahn: Spending $200B a year on AI CapEx without new business lines is unsustainable
David Cahn · How The AI Bet Pays Off + AI Lab Strategy Game — With David Cahn · Aug 5, 2026 · at 13:56
Sequoia partner David Cahn discusses how the AI market overestimates the viability of current infrastructure spending patterns.
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“The current status quo of we're spending two hundred billion dollars a year on CapEx. And, you know, yes, we're renting our GPUs, so revenue is accelerating, but fundamentally there's no There's not a new business line coming out of it. That is not sustainable.”
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