Former New York Fed President Bill Dudley warned that AI infrastructure investments could exceed $10 trillion, potentially leading to massive overcapacity. He estimates that among the 7-8 aspiring AI hyperscalers currently, only 2-3 may ultimately dominate the market. Dudley noted that AI infrastructure might require over $3 trillion in annual revenue to justify its investment costs. Opaque private credit financing, off-balance-sheet debt, and NVIDIA's chip value guarantees further exacerbate the risks.