Shares in CoreWeave, Nebius and Iren fell in early trading on Monday after Elon Musk wrote that most neoclouds will not survive. All three rebounded later in the day, as Arjun Kharpal reported for CNBC .

Neoclouds rent out AI computing power, mostly Nvidia chips, to other companies. Musk set out his view in a post on X on Sunday.

“As of the past few weeks, debt markets have almost entirely shut off access to money for any company that doesn’t have substantial revenue independent of AI data centers,” Musk wrote. “That means the 200+ neoclouds are going to see guppy-level death and consolidation. Some will make it through, but not many.”

In the same post, Musk said SpaceX had closed $40bn of debt for GPUs.…