Capital running on two clocks?
Physical infrastructure may remain useful for years while the competitive frontier it supports resets within months.
Capital Allocation
How should capital be allocated when the technology it finances can alter revenue, shorten competitive asset life and increase the capital required to remain at the frontier?
The economic object is changing.
The principal variables interact
Capital, revenue and technological velocity can increasingly determine one another rather than follow independent forecast paths.
The next dollar is the question
Historical return may be a poor guide when the technological environment can change materially before new capital is fully deployed.
PUBLICATIONS
The Three-Dimensional Economics of AI
Rethinking returns when capital, revenue and technological velocity are endogenous. Introduces TERAXYS TRACER™—Technological Rate-Adjusted Capital Expected Return.
AI and the Physical Economy
How resource constraints shape technological velocity as power, grid capacity, semiconductors, cooling, water, land, materials and industrial capacity become interacting limits on further expansion.
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