JPMorgan Chase stated that the "AI" label alone is no longer sufficient to win over lenders. The firm noted that as default insurance costs for several AI-related companies hit record highs, lenders now require businesses to prove their ability to finance investments, repay debt, and ultimately generate cash flow. Justin Biemann, Global Investment Strategist at JPMorgan Private Bank, pointed out in a report published on October 23 that companies must demonstrate their ability to convert spending into cash flow. Furthermore, Musk issued a similar warning on Sunday, stating that debt financing for new AI clouds (companies whose revenue is almost entirely dependent on data centers) is drying up.