Comment by hedayet
18 days ago
A bubble doesn’t necessarily imply the underlying technology is useless.
It implies that expectations and capital allocation have significantly outpaced realistic returns, leading to painful corrections for bulls.
And with AI, a classic bubble signal is emerging: widespread exit-timing instead of deep, long-term conviction.
The greatest critics of the AI boom like Gary Marcus and Michael Burry aren’t even saying it’s useless, that’s a strawman no one is arguing for
> widespread exit-timing instead of deep, long-term conviction.
$500+bn in one year capex from largest and most profitable companies ever known to mankind seems like a deep and long-term conviction, no? you and I may not have conviction, the largest and most profitable companies on earth that have been carrying most of global economy do
Tech companies buying computing real estate with surplus profit isn't conviction in my book.
Do they have conviction or FOMO?
I would bet against the Mag7 FOMO’ing around