AI company valuation reassessment theory, power grid and procurement cost burdens cited

Niles Investment Management founder Dan Niles said on Bloomberg's "Insight with Haslinda Amin" that U.S. data center constraints, falling token prices and rising financing costs are reshaping competition in the AI industry and pressuring valuations, Crypto Briefing reported. He argued that contracts to expand computing capacity do not by themselves resolve facilities' access to power or their operating costs. The remarks add to a growing re-evaluation case against U.S. AI companies, whose data center buildouts face grid limits and higher funding expenses. Watch whether power access and financing conditions, rather than compute contracts alone, become the binding constraint on AI capacity growth.