Monday, October 20, 2025

Analyst Warns: Today’s AI Bubble Could Be 17 Times Larger than the Dot-Com Collapse

Navigating the AI Bubble: Insights and Controversies

The AI landscape is buzzing with excitement, yet skepticism looms large. Recently, Deutsche Bank analysts hinted that the “AI bubble” may already be deflating. Despite this, the market value of ten profitless AI startups skyrocketed to nearly $1 trillion—a striking phenomenon worth examining!

Key Highlights:

  • Skepticism vs. Enthusiasm: Experts like Julien Garran label this frenzy as potentially “the biggest bubble the world has ever seen,” suggesting a misallocation of capital that could be 17 times that of the dot-com era.

  • Feasibility of AI Models: Garran argues that if large language models (LLMs) are utilized commercially, they might not yield profitable ventures due to inherent limitations and scaling issues.

  • Investor Dynamics: With funding slowing down, the AI ecosystem’s sustainability is questioned. While Nvidia thrives, many LLM developers struggle.

Curious about the future of AI? Engage in this critical debate and share your opinions below! Let’s navigate these uncharted territories together.

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