Alchemy Capital Management is becoming more cautious about the artificial intelligence investment cycle as hyperscalers increasingly turn to debt to fund infrastructure spending. Deputy CIO Alok Agarwal said the top five hyperscalers raised close to $240 billion in debt in the first eight months of the year, more than double the previous full-year figure. While he said the trend has not reached a danger point, Agarwal warned that investors need to monitor whether operating cash flows can support the debt. He also flagged pricing pressure on Indian IT companies as AI adoption advances.
Source link