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The AI trade bubble has already been popped, early by unrelated macro events. Big companies are still investing in centers, and nvidia is still supply constrai
by mixmastamyk 2y ago
The AI trade bubble has already been popped, early by unrelated macro events.
Big companies are still investing in centers, and nvidia is still supply constrained to my knowledge however. New models are popping up. So there’s still real business/progress happening.
Remains to be seen how useful the products will ultimately be. Bottom line, growth should be smaller and more realistic from here on. Though I’m sure there’ll be spikes when the speculator contingent comes back to the market.
The later that happens, the more they’ll be constrained by reality.
- AbstractH24 2y agoThe AI/semiconductor trade has popped, but I don’t think tech companies basing their business model on it has. What I think you are suggesting is that it’s possible for companies to move on from AI hype without a dotcom-level correction. More akin to the way the metaverse and NFTs did. And maybe you aren’t wrong. I was a pre-teen in 2000, so while I remember the hype, froth and general ridiculousness of the late 1990s (was just explaining Priceline for groceries to someone yesterday), I don’t remember the particulars of how big it got or quickly it ended. As a product with use cases AI seems more comparable to the internet than the metaverse and NFTs though.
- mixmastamyk 2y agoAI-only companies like OpenAI might flame out, but I think BigTech won’t be materially affected either way. They are just too big. Losing a few years petty cash on the bet will maybe affect executive bonuses but won’t hurt much longer term.