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So yes, AI is a bubble, but this bubble has generated value, it’s not at all like 2008.
Better hope not. If the AI bubble pops it’s going to make the dotcom bubble look like a tiny divot in the road.
Let me put it this way, IF AI is a bubble then I'd like it to go bust asap instead of dragging along and going public and then us discovering BS/creative accounting revenue in S1 filings. by then it would be much worse. Right now VCs and PE firms will absorb it all.
The thing with dot-com was that there was actual public market corruption & euphoria. that caused the bust painful for everybody. RN its bigtech & PE how has heavy cash reserver and margins to bun through. I'd much rather have them take it then average 401k.
I replaced a $22/hr worker entirely with AI. And it costs me about $0.18/hr instead. The AI does a better job, is more reliable and consistent. The human was constantly behind schedule, made frequent mistakes, and also humans get sick, or call off work for other reasons. So yes, AI is a bubble, but this bubble has generated value, it’s not at all like 2008.
I replaced a $22/hr worker entirely with AI. And it costs me about $0.18/hr instead. The AI does a better job, is more reliable and consistent. The human was constantly behind schedule, made frequent mistakes, and also humans get sick, or call off work for other reasons. So yes, AI is a bubble, but this bubble has generated value, it’s not at all like 2008.
If it does there is gonna be a lot of cheap second hand hardware out there for those who want to build something cool
Better hope not. If the AI bubble pops it’s going to make the dotcom bubble look like a tiny divot in the road.
Better hope not. If the AI bubble pops it’s going to make the dotcom bubble look like a tiny divot in the road.
The .COM bubble was more than a divot because .COMs in so many industries employed so many people. There was amazon.com, but also pets.com, lowermybills.com, gateway.com. But if our economy somehow loses access to AI (rationing due to wartime efforts? sabotage by a foreign nation? simply not enough grid power to turn them on at the price people are willing to pay?) I would probably need to hire more coders to get the…
The rest of the economy is dead. Oracle is dead without OpenAI. Remember that unlike the dotcom, none of these companies are public. So when it pops, you’ll see private credit and PE funds implode, which could bring down banks with unhedged exposure. The headlines talk about JP Morgan (which likely has the risk managed), but regional banks got into that nature in the last couple of years in a big way.