00:00Let's talk about the AI story. There's a headline coming through from the SML, I think it's the CFO, saying the company's got all the materials it needs for the coming months.
00:06The hint there may be being that it doesn't have the material beyond that because of potentially the tension between Europe, the United States and China.
00:15Does that have the potential to blow up the AI bubble? How nervous are you about what is happening in AI at the moment?
00:21No, I think that's a really good point, as in these materials. I mean, this is part of the whole rare earth discussion and what's happening there, right?
00:27I mean, it's really China, U.S., you know, to a degree Europe, but really China and the U.S. in an AI arms race as well, as much as anything else, right?
00:35We saw that with the deep seek moment earlier in the year, which, again, people seem to kind of move past.
00:39But I do think that if you look at how much of the investment that is going into AI, how much that is driving U.S. economic growth,
00:46which is what the rest of the world has really been reliant on for the last four years, in a sense, if that were to slow down.
00:52And by the way, we are already seeing a slowdown in year-on-year growth in data center manufacturing.
00:58So despite all the numbers being thrown around, it's saying, well, okay, if that's starting to happen already, where does this go?
01:04And to me, the fact that you have a company, OpenAI, who's losing about $10 billion a year going up to, you know,
01:10they're going to go through $115 billion of cash burn in the next three years,
01:14saying, on the other hand, we're going to spend $10 trillion equivalent on new power plants, building 250 gigawatts by 2033.
01:21These numbers, in a sense, don't really add up.
01:23If they don't add up, where do I look to them not to add up?
01:27Which asset classes are most vulnerable to the math not working?
01:30Well, most vulnerable, I think, would be equities, I think, clearly.
01:34But in your world?
01:35In our world, I think that, you know, you would look at copper.
01:37I think there's been, you know, a lot of demand that people are pricing in coming from there.
01:42Our CEO made the point yesterday, really, that, you know, this, a lot of the core demand remains in sort of the more normal,
01:49exactly, air conditioners, refrigerators, whatever else.
01:53AI story is the future, but it's not yet the present, I think.
01:56And so you really need to see, okay, is that investment really going to materialize?
01:59But if it does come off, I think that's a real risk around some of these prices that are quite elevated.
02:03But that's why I think also where we come back to where we started, which is what gold and silver prices maybe are telling you.
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