tech
Revenge of the AI bubble
AI's newest skeptics are emerging from inside the boom.
TL;DR
- The AI bubble has gone through phases of suspicion, mania, and is now in a reckoning concerning its cost versus value.
- Companies like Uber, Amazon, and GitHub are experiencing high AI costs and questioning its broad applicability.
- AI savings are falling below projections for many large companies, despite planned increases in spending.
- The recent stock market drop, particularly in tech and semiconductors, highlights investor concerns about AI's long-term revenue outlook.
- The real bubble may have been the assumption that AI could be universally applied and reliably pay for itself.