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this post was submitted on 21 Aug 2025
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How bad to you think this collapse gonna be? We gonna see a big name collapse into dust or we gonna see something akin to the Great Depression?
The AI bubble is going to be like the dot com bubble I think, but with the world being so heavily financialized it might spiral into something like 2008 or worse...
It won't be like the dot com bubble. The AI bubble is far more corporate investment with far fewer entities having money thrown at them.
That's true yeah, there is a lot less retail investment in those companies.
What is similar to the dot com bubble though is many "smaller" companies (i.e. not Google or Meta) are buying into AI as an investment into infrastructure for their company, just like was happening with useless websites during the dot com bubble.
Yeah, most individuals don't have money to invest in techbros' latest boondoggle.
Which means we'll be paying for their bailouts instead.
We’ll see the beginning of a crash in about a year and the crash probably won’t end for 7-10 years.
We’re looking at a full scale shift in the way large scale orgs are running their businesses; and it’s a shift a lot of them will need to pivot from once they realize it’s not working.