If the AI bubble bursts, what will it mean for research?
2 days ago
- #dot-com crash
- #research impact
- #AI bubble
- The AI boom is showing signs of strain, with analysts predicting a potential 'AI bubble' burst.
- Investment in AI is 17 times higher than in Internet companies before the dot-com crash.
- NVIDIA, valued at $4.6 trillion, is worth more than most national economies except the US, China, and Germany.
- 80% of companies using AI report no significant impact on earnings, raising doubts about its utility.
- Concerns over AI's basic architecture and financial viability are leading to speculation about an imminent crash.
- An AI-market collapse could be more catastrophic than the dot-com crash, which wiped out $5 trillion in stock value.
- Despite job losses, the dot-com crash did not halt research output in computer science.
- Major AI companies like OpenAI and Google are likely to survive a crash, retaining their scientific core.
- Crashes can redirect innovation into other sectors, as seen with the bicycle bubble leading to motor vehicles.
- The tech industry currently overshadows academia in AI investment and publication, causing an 'AI brain drain'.