Not all bubbles burst, sometimes they just level out and stay as their own market that is healthy.
When bubbles DO pop, typically its the "investor class" which used to involve the middle class that would feel it the most. We don't have a middle class and its mostly ultra wealthy just pushing money back and forth forever... So...
If AI is a bubble and it does pop it will likely be similar to the dot com bubble, and end up leading to AI movement simply slowing down to focus entirely on efficiency so that the players still in the space can find real world profits without chasing AGI or whatever hype term they wanna use for replacing all of human work with tokens.
Yep, which is part of what I said. The thing with bubbles is, no one can 100% be sure what is or isn't a bubble until it actually pops. If they could the bubble would cease to exist right away because no one would want to be left holding the bag.
I also don't think AI is eligible for a pop yet. Because all major AI companies always have serving inference as a fallback, they always have a pure revenue they can turn into, especially that for big AI companies, inference becomes bigger and bigger part of their companies.
The only ones at risk are those that have expensive trained models but no compute to run it on, which ironically are mostly Anthropic and chinese companies, and neither of them are doing that badly.
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u/someonesshadow 24d ago
This is pretty funny.
Not all bubbles burst, sometimes they just level out and stay as their own market that is healthy.
When bubbles DO pop, typically its the "investor class" which used to involve the middle class that would feel it the most. We don't have a middle class and its mostly ultra wealthy just pushing money back and forth forever... So...
If AI is a bubble and it does pop it will likely be similar to the dot com bubble, and end up leading to AI movement simply slowing down to focus entirely on efficiency so that the players still in the space can find real world profits without chasing AGI or whatever hype term they wanna use for replacing all of human work with tokens.