2 weeks ago - Altman has said: “There are many parts of AI that I think are kind of bubbly right now.” Not his part, naturally. Jeff Bezos, Amazon’s founder, has called it a bubble, but the “good” kind that accelerates economic progress. A good bubble, in this analysis, finances infrastructure and expands the boundaries of human knowledge. These benefits endure after the bubble bursts and justify the ruin of people (little people, not Bezos people) who get hurt along the way.

As an example, he notes how the dot-com bubble of the late 1990s was painful for investors but relatively contained for the general public. “It was mostly a story about private capital chasing internet startups,” he says. “When it burst, households didn’t lose their homes, and the banking system stayed intact.” But, by contrast, the housing bubble of the 2000s had far-reaching consequences.

2 days ago - They added that investors were not properly cautioned about the risks of a stock market crash were AI to fall short of market expectations. The International Monetary Fund agreed with and reinforced the bank's claims. Kristalina Georgieva, a Bulgarian economist and the 12th managing director of the IMF, also drew comparisons to the dot-com bubble of 2001, highlighting that a market correction could stunt global growth and weaken the economies of developing countries.

December 1, 2025 - Or is it more likely to look like the dot-com bubble, whose bursting produced a comparatively shallow economic downturn and ultimately gave the world the modern internet? As I pointed out in my last column about AI, Gita Gopinath, former chief economist of the International Monetary Fund, calculated that a stock market crash equivalent to that which ended the dot-com boom would erase some $20tn in American household wealth and another $15tn abroad, enough to strangle consumer spending and induce a recession.

2 weeks ago - These are not the flimsy Pet.coms of the dot-com bubble in the late 1990s. They’re financial behemoths with money to invest in costly data centres and model training. So while it might be true that numerous AI start-ups will go belly-up as the scaling train runs out of steam, the mega-companies propping up the global economy could hold firm.

Many have scrambled to incorporate AI into their operations, drawn by the promise of a technology that would cut labor costs and revolutionize productivity. Yet according to an MIT study released in August, 95 percent of businesses that have deployed generative AI have gotten no value from it. It's not clear that the AI bubble bursting would have a devastating effect on them either, at least directly.

October 8, 2025 - Amodei estimates there is a 25% chance that AI will go “really, really badly.” Ironically, Musk’s Grok, xAI’s large language model, provided a recent example of what happens when tampering with the inner workings of AI models goes awry.

2 weeks ago - This is likely the Phase one of the AI bubble burst, likely to lead to a reduced AI capex in the next Phase. The key issue going forward will be whether AI monetization can catch up with AI workload demand, which currently seems unlikely.

4 days ago - Taylor and others have been trying to position themselves as today’s Amazon. Still others are arguing that the pain will be widespread. Google CEO Sundar Pichai told the BBC this month that there’s “some irrationality” in the current boom. Asked whether Google would be immune to a bubble bursting, he warned, “I think no company is going to be immune, including us."

November 19, 2025 - The rise in artificial-intelligence technologies is unprecedented, but some predict a stock-market crash that could have knock-on effects for funding and jobs. The rise in artificial-intelligence technologies is unprecedented, but some predict ...

2 weeks ago - Because these companies now make up a huge share of the market, a correction in even a handful of them could lead to a fall in both the S&P 500 and Nasdaq. This could lead to an environment similar to the dot-com bubble burst of the early 2000s.

October 2, 2025 - Some reports indicate that AI usage is actually declining at large companies that are still trying to figure out how large language models can save them money. Every financial bubble has moments where, looking back, one thinks: How did any sentient ...

November 14, 2025 - The big question has not been if the bubble bursts and the clown attacks, but when. You see, this bubble is now so enormous and so interconnected with our economy and financial systems (read more here) that when it bursts, it will damage everything.

If the lofty expectations of AI market leaders become unattainable, it can pave the way for the AI bubble to burst in 2026.

3 weeks ago - As things stand, we do not know when this will happen, nor the extent of the potential damage, but there will probably be a market correction when enough investors realise that multiple companies are overvalued.

13 hours ago - Read more: No Firm Is Immune if AI Bubble Bursts, Google CEO Tells BBC · “A bubble likely crashes on a bear market,” said Gene Goldman, chief investment officer at Cetera Financial Group, who doesn’t believe AI stocks are in a bubble.

September 28, 2025 - To think some kind of burst will get rid of AI is completely naive. If we're comparing to the dotcom bubble, the world remained forever changed even after 1999. All the trend chasing companies that shoehorned websites into their business model burned away, but companies that had real value remained, and their valuations recovered over time. Likely the same thing will happen to AI, the fundamental technology is here to stay.