Mastodawn

nixCraft 🐧Mar 7

You know how a gambler who loses it all starts begging his family for cash or putting their house up for a loan? We all know that story usually has a "happy" ending. Right?

Well, SoftBank is basically doing the same thing. They are talking to banks to get a massive $40 billion loan just to buy a stake in OpenAI. It is their biggest loan ever. I’m sure betting the house on a single hand will work out perfectly this time. https://www.livemint.com/companies/news/softbank-seeks-record-40-billion-loan-financing-banks-fund-openai-stake-invest-masayoshi-son-ai-bubble-concern-liquidity-11772773618772.html

These AI people are running out of money

$40 billion loan: SoftBank seeks record financing to fund OpenAI investment — Here's what we know

SoftBank is in talks with lenders for a record $40 billion loan to finance its OpenAI stake purchase — its largest dollar-denominated borrowing yet. Here's what we know amid liquidity and AI concerns.

mint

nixCraft 🐧Mar 7

Meanwhile BlackRock the biggest fund manager in world, started fund limits withdrawals as redemptions rattle private credit. Can you guess industry names that are using private credit (hint AI startups) ? https://www.reuters.com/business/blackrock-limits-withdrawals-private-credit-fund-redemptions-mount-2026-03-06/

Blackrock said on Friday it has limited withdrawals from a flagship debt fund after a surge in redemption requests, as investor worries mount around the $2 trillion private credit industry that giving loans to AI and software industry mostly.

Matt Rife 6d ago

Over the past few weeks, several US banks have pulled off from lending to Oracle for expanding its AI data centres, as per a report. So Oracle is now firing 30000 engineers as banks pull out from financing AI data centres and OpenAI deals to meet fools dream. Wise investors are pulling out of data centres now as they found out it's impossible to reach AGI & exponential AI growth through increasing the scale of compute. LLMs have already hit their developmental plateau https://www.livemint.com/companies/news/oracle-layoffs-tech-giant-to-slash-30-000-jobs-as-banks-pull-out-from-financing-ai-data-centres-11769996619410.html

Oracle Layoffs: Tech giant to slash 30,000 jobs as banks pull out from financing AI data centres

Over the past few weeks, several US banks have pulled off from lending to Oracle for expanding its AI data centres, as per a report.

mint

宮城巴惠 Mar 7

@nixCraft on one hand it makes me very happy to see the AI bubble burst, but it's incredibly sad to see that workers are the ones to suffer again

@marco @nixCraft if they're working for a toxic company like Oracle anyway, maybe it's a good opportunity to move on

Michael Simons Mar 7

@nixCraft @infosec812 Ed was right

https://www.wheresyoured.at/haters-guide-oracle/

George Liquor, American Mar 7

@rotnroll666 @nixCraft @infosec812 Zitron is my goddamn hero. He's never not right about the economic and political circle jerks we're constantly under attack from.

Violet Madder Mar 8

@liquor_american @rotnroll666 @nixCraft @infosec812

I am definitely feeling more educated with his posts

Deven Phillips Mar 8

@violetmadder
Larry Ellison and Oracle are not making as bad of a bet as some may think. I suspect there is a bailout waiting in the wings from the Trump administration. Yet more waste of taxpayer money.
@liquor_american @rotnroll666 @nixCraft

Violet Madder Mar 8

@infosec812 @liquor_american @rotnroll666 @nixCraft

Oh certainly. That's gotta be half the point.

Knut 🏳️‍🌈 🇳🇴🧸Mar 7

@rotnroll666 @nixCraft @infosec812 I'm in Abilene, TX where Stargate is being built. And there are TONS of jobs. But they're slave jobs - 12 hour days 6 days a week at $25/hr on a 1099. And Oracle is very well known for not paying their contractors in a timely manner. I've heard some contractors are 60 days out in aged payments from Oracle.

Ojocle Olonam Mar 7

@nixCraft is the bubble bursting already?

https://techcrunch.com/2026/03/04/jensen-huang-says-nvidia-is-pulling-back-from-openai-and-anthropic-but-his-explanation-raises-more-questions-than-it-answers/

Jensen Huang says Nvidia is pulling back from OpenAI and Anthropic, but his explanation raises more questions than it answers | TechCrunch

Nvidia CEO Jensen Huang said Wednesday that his company's investments in OpenAI and Anthropic will likely be its last — but his explanation may not tell the whole story.

TechCrunch

Greg Brooks Mar 7

@nixCraft @nivrig The big risk is when the software companies fold, Oracle is stuck with the infrastructure bill and real estate. Oracle raced to land grab with limited upside and all the risk.

@keyboardg @nixCraft @nivrig wow 30k that is going to
Be noticed. I haven't seen numbers like that since 2008, Cisco had some layoff in that range.

@keyboardg
Resonates: “The big risk is when the software companies fold, Oracle is stuck with the infrastructure bill and real estate. Oracle raced to land grab with limited upside and all the risk” - as only someone who knows govt will bail them out can afford to do… (others have to act in line with their risk assessment)…

#USPol #OracleSoftware #riskAssess #infrastructure

@nixCraft @nivrig

unlofl [Promoted Toot]Mar 7

Play Ball and Fight Fascists Mar 7

Feel bad for the folks that were working there, but also, fuck Oracle.

John Regan Mar 7

🌸 Vårgubben Mar 7

@nixCraft Is the madness finally comming to an end? How I’ve been longing to this day.

I hope those 30k engineers can now find something with meaning and purpose to put their cognition and skill into. Preferably something related to saving the planet from impending doom. That, or cool video games.

Also, should we be warning the genetics and/or robotics folk that tech bros are coming for them next?

Antonio Patriarca Mar 8

@jordgubben @nixCraft It still looks like madness to me. Banks has been cautious for some time now as they already invested a lot and the companies do not seem closer to give the money back (with maybe the exception of Nvidia) and continue to ask for more. Banks are not as irrational as the stock market. And this layoff will apparently only give Oracle a 10 billion cash flow when they needed 150+ billion. I don't see how this help achieve their goal. It surely doesn't help convince banks and the cash flow is still much lower than needed for the planned expansion. And they are laying off the people who may help develop their products. But I suppose big tech is now convinced they can survive by using AI to build everything.

🌸 Vårgubben Mar 8

@antopatriarca Was there ever an (actually achievable) goal in the first place? Or was it always ’cool toys’ spinning out of cost control?

If in the end the eventual burst of this bubble takea a few tech giant things down with it, then perhaps that’s the best outcome we can hope for.

Going to hurt a bit while all who’d made themself dependent on products and services no longer maintained migrate to smaller (and hopefully open source) options though.

Antonio Patriarca Mar 8

@jordgubben @nixCraft With goal here I simply mean building the data center. But I certainly agree with you this is just speculation and trying to get as much money out of the bubble as possible before it eventually blows up

gullevek ☢️ 🇯🇵Mar 8

@nixCraft Very smart to fire the people who build your product

John Deters 6d ago

@gullevek @nixCraft

Don't worry. Oracle doesn't have 30,000 engineers. They have a thousand engineers and 29,000 IP lawyers.

Of course 29,000 lawyers getting dumped onto the job market means a huge boom in the billboard industry. I know where I'm investing!

@nixCraft Does that mean Warner Bros Discovery wont be sold to that dipshit's son who is a bigger dipshit? No more bank money to give as pocket money.

Maria Langer | 📝💎🌵🛥️Mar 8

@nixCraft @User47 Is this the start of the bubble burst?

@mlanger @nixCraft sure feels like it. This, plus Blackrock limiting withdrawal in its private equity arm, klaxons must be ringing somewhere

@nixCraft If Oracle were to die or split up thanks to AI, that would a be a fair, if late, punishment for killing Sun Microsystems.
Me, holding a grudge? Nevarrr!

@nixCraft, not sackings. Redundancies/lay-offs. The difference is significant.

(Based on article content.)

Benjamin Braatz 6d ago

@nixCraft Interesting that some comments think that Oracle hopes to be bailed out. Wouldn't count on that with this administration. Could well be that their brainworms ditch the idea of a bailout tomorrow or that it's too hard to get through a more and more disgruntled congress or both.

Paul Chambers🚧6d ago

@HeptaSean IMO, that would depend on what offer the Ellison's made to Trump and his cronies as far as what they personally get if they bail them out.

Dave Rahardja 6d ago

@nixCraft @MisterArix The original article is here:

https://www.cio.com/article/4125103/oracle-may-slash-up-to-30000-jobs-to-fund-ai-data-center-expansion-as-us-banks-retreat.html

Oracle may slash up to 30,000 jobs to fund AI data-center expansion as US banks retreat

Oracle is considering workforce cuts and selling Cerner to alleviate financial pressure, warns investment bank TD Cowen.

CIO

MisterArix 5d ago

@drahardja @nixCraft I reported to layoffs.fyi -- it would be the all-time highest headcount at the site.

Layoffs.fyi - Tech and Startup Layoff Tracker

[LIVE] Tracking all tech startup layoffs — and lists of employees laid off — since COVID-19. This page is constantly being updated.

Layoffs.fyi

Banks know the bubble is about to burst and they also know Larry is a fu<king nutter.

But Larry is driving his money into junior's stupid acquisition of WB... if I was a stock holder, I'd be pretty pissed.

@nixCraft
At what point in the war with Iran can these companies use force majeure to back out of their unaffordable contractual commitments ?
Can they justify this when drastic cost increases and/or supply shortages occur, or do they have to wait for "retaliatory strikes" on US soil ?