Gary Marcus(@GaryMarcus):Giant cash machines like Meta and Google are now negative cash flow; OpenAI and Anthropic have been from the start.* (*With the arguable exception of one anomalous quarter with a big subsidy.) There is at least an 80% chance that this will turn out to be the greatest capital misallocation in history.

2026.10.29 10:37

Giant cash machines like Meta and Google are now negative cash flow; OpenAI and Anthropic have been from the start.* (*With the arguable exception of one anomalous quarter with a big subsidy.) There is at least an 80% chance that this will turn out to be the greatest capital misallocation in history.

zerohedge@zerohedge

2026.10.28 20:46

META may be new to the negative cash flow club, but not GOOGL: free cash flow was negative for a second straight quarter, -$9.1bn vs -$3.5bn consensus. Trailing-12-month FCF collapsed 73% to $19.7bn, from $73.6bn a year ago.

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