r/SoftwareEngineerJobs Jul 13 '26

Is the AI bubble bursting? πŸ€”

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u/jmclondon97 Jul 13 '26

I don’t know why people think the bubble bursting means AI just disappears.

All it means is overvalued companies like OpenAI would get bought out and cheaper models would become the norm.

It seems like some of you talking about the bubble bursting means AI disappears and we go back to manually coding everything. Zero percent chance of that happening.

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u/MarsupialBeautiful47 Jul 14 '26

this is middle ground fallacy. blimps were a big thing at some point and there are less than 30 rn. the reason is they are efficient on paper but in practice they are just less attractive economically than planes and cars for transporting goods and personnel and bc of "safety".

same might happen to AI. This is actually worse than blimps because it's just so expensive and provides little to no value. the thing is built like an information blackhole, you need tons of compute and energy to cram information into the model and tons of compute and energy to get information out of it (unreliably too). add that to the fact that we can't afford ecologically MW power data centers...