By Ramish Zafar
Publication Date: 2026-08-16 09:25:00
After NVIDIA and CEO Jensen Huang announced their latest initiative last week, which now turns the firm’s GPU into an asset class similar to financial securities, Trump advisor David Sacks discussed the biggest risk to the plan and the ongoing AI buildout. NVIDIA’s latest announcement will also see the firm backstop the GPUs by providing residual support, Huang outlined. In his appearance on the All In Podcast, Sacks outlined that an oversupply of compute remained the biggest risk to the AI buildout.
Sacks Says Opposition To AI Data Centers Might Work In Favor Of The Ongoing Buildout
With big tech’s spending on the data center infrastructure buildout continuing to scale to new highs, David Sacks, who serves on the President’s science and technology advisory council, discussed the biggest risk to NVIDIA’s partnership with the investment community to establish independent financing platforms to make GPUs a financeable and income-producing asset.
Sacks remarked that the biggest risk to the initiative was not on the demand side. Instead, he outlined:
“The biggest risk, to me, is not on the demand side, the biggest risk is that you get a glut of compute and you get an overbuild. And, in the same way we had dark fiber after the dotcom crash, if you have dark GPUs that would be a disaster for everyone, especially if you built out your compute infrastructure expecting a spot price of $30-$50/watt, as, you know, Elon said they were…
