GPU depreciation could be the next big crisis coming for AI hyperscalers — after spending billions on buildouts, next-gen upgrades may amplify cashflow quirks

Managing asset depreciation is a core component of most modern businesses, but where you can spread the cost of some assets over a decade, or less, modern GPUs threaten an altogether more aggressive lifecycle. The gains being made generation upon generation, particularly in AI performance and chip efficiency, threaten to accelerate asset depreciation beyond what even some of the largest companies can handle. Now, analysts worry that the rapid pace of AI processing power advances from new generations of…