this post was submitted on 30 Oct 2026
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I can't see them getting bailed out. That would be political suicide for either party. AI companies aren't creating jobs, they manufacture nothing (like autos) and they're not our financial backbone (like banks).
They tech companies themselves likely won't get a bailout, but don't rule out the Fed warming up the ol' money printer. All the borrowing for data centers, where do you think they're borrowing from. Banks, insurance companies, bond investors and private credit funds. Those first two are the key. If a too-big-to-fail bank or insurance company gets jammed up by their own bad loans to hyperscalers, you best believe they're going to the Fed, hat in hand, asking for another bowl of that sweet, sweet quantitative easing.
Also there could be contagion to the big banks and institutional investors (think pension funds) from the bond sales and the construction loans for the data centers.
cough 2007 cough