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Shares of NeoCloud companies plunged after debt yields for NVIDIA-backed CoreWeave continued to reach new highs.

Meanwhile, Social Capital founder Chamath Palihapitiya raised questions about private, a private credit bubble alongside a screen grab showing CoreWeave's bonds hitting a 15% yield.

Um, Elon Musk replied, 'Yikes.' CoreWeave stock plunged 15%.

Nebius Group and Eren, popular trades connected to the data, data center build-outs, also fell as much as 10%.

If you are trained on otherwise out-of-sample data where you are expected to do crazy things like insert comically evil backdoors into code, then that requires much bigger adjustments to make it make sense.

Image, a stacked bar chart from Social Capital using semi-analysis data titled Share of Frontier Lab Compute by Workload by Quarter from Early 2024 to an Estimate for Late 2026.

Pre-training falls from 67% to 7%, post-training and RL grow from 4% to 55%, and inference holds near a third.

Massive fraudulent distillation.

We're gonna talk about what's going on in, uh, tech, uh, really about AI in general and just some of the kind of ripple effects that's going on as it relates to the financing of the AI build, something that we've been talking about, um, for a very long time.

Your good friend and mine, Jamaal Palahapatiya, um, tweeting some stuff from Social Capital-

What does that even mean? What-

About the-

No one cares what Chamath thinks about politics.

They want to hear what happened at Social Capital and why he closed the fund.

This is a direct shot at Chamath Palihapitiya, who co-hosts the All-In podcast alongside Jason Calacanis, David Sacks, and David Friedberg.

The four VC investors cover everything from markets, economics, and politics, but as far as I can tell, they never explained Chamath's own controversy.

What happened to his own firm, Social Capital? Back in 2024, he fired two of his senior partners in relation to one of his investment vehicles known as a SPAC, but all he said about it was, "We became aware of a situation." Chamath, quote, tweeted in response to the criticism, citing three explanations for what happened: a personal battle he was struggling with, that his internal team became a snake pit, and that his investing style didn't work for a normal fund structure.

Long live Social Capital.

While this gives a little bit more color around why he fired his partners, it says nothing about what people really wanted to know.

[playful music] A reply to Chamath reads, "How about all of the scams through your SPACs? You never came clean about it.

It alleges that founder Jonathan Ross and Mr. Madra negotiated for Groq while negotiating their own employment and pay with NVIDIA, and that Mr. Ross received NVIDIA equity out of the dollar three billion commitment.

The complaint identifies four investment funds, including Social Capital and BlackRock, as conflicted funds.

Their designees held four of seven board seats, and the funds hold contractual seats on the board of managers of Groq, LLC.

The funds are not defendants, though the complaint reserves the right to add them.

Like, he's got a mouthful of a last name, originally from Sri Lanka.

Chamath is a former Meta executive, the founder of Social Capital, and one of the co-hosts of the All-In podcast, and he's built this huge public identity around bold predictions, strong opinions, and a willingness to say things that other people would bury between 17 lines of context.

He speaks in headlines.

He gives you the conclusion.

Genesis 11, verse 4 tells us, And they said, Go to, let us build us a city and a tower, whose top may reach unto heaven, and let us make us a name, lest we be scattered abroad upon the face of the whole earth.

The complete lineup also included Shayam Sankar of Palantir, Hock Tan of Broadcom, Sanjay Mehrota of Micron, Nikesh Arora of Palo Alto Networks, Bill McDermott of ServiceNow Tom Brown of Anthropic, David Sachs of Craft Ventures, K-Math, and I'm not even going to try that last name, of Social Capital, and Brandon Raybar Daniels of Exeger, along with...

Brad Gertzner of Altimeter.

I want you to consider the unbelievable reach represented by that gathering of people, AI development, computer chips, cloud services, cybersecurity, government data systems, and investment capital.

And they were like, can you please just take a day off? We'll seat you somewhere around this very, very prestigious table with a lot of very powerful and prestigious people.

I said, I know I would love to go and sit with, I'd love to go and sit with Secretary Lutnick, And and Chamath Palapatiya from Social Capital.

I would love to do that, but I'm sorry.

I just I got I got to do the podcast.