I’ve been following discussions among economists comparing today’s AI excitement to the internet bubble of the late '90s. A well-known economist recently mentioned that the buzz surrounding AI technology might surpass the hype we witnessed during the dot-com boom.
It makes me wonder if we are experiencing another tech bubble. Back in the '90s, investors flocked to internet startups with shaky business plans, and we all know how that ended.
Are we noticing similar trends with AI companies right now? Their valuations appear sky-high, and it seems like every business is eager to incorporate AI into their offerings. I’m interested in hearing thoughts on this. Do you think the AI sector is truly overinflated, or is this scenario unlike the dot-com era? I would appreciate various viewpoints on whether this economist’s concerns are valid.
Yeah, there’s definitely something to this comparison. The investment patterns and crazy valuations look pretty similar. But here’s the thing - during the dot-com bubble, most companies had zero path to profitability and were just gambling on maybe making money someday. Now we’ve got tech giants like Google and Microsoft actually making money while they build AI into their existing products, not just startups burning VC cash. That said, the overvaluation worry is real. Companies are literally slapping “AI” onto their descriptions and watching their stock prices rocket up. Sound familiar? The key difference might be that AI actually works and solves real problems across different industries. Dot-com companies were mostly solutions hunting for problems that didn’t exist. But when every single company suddenly claims they’re an AI company? That screams speculation to me.
for sure, there’s a lot of buzz around AI but unlike dot-coms, it’s actually makin’ a difference. those companies are generating revenue now, not just chasing quick dollars. the hype is wild, but AI is tackling real issues instead of just big dreams.