Artificial Intelligence: Is a Bubble Burst Coming?

There are concerns about a potential "bubble" in the artificial intelligence sector, with excessive valuations and a narrative of radical change in the economic landscape. The IMF reports fears of a bubble but estimates that it will not cause a systemic crisis like the dot-com crash of 2000.

Valuations of technology companies are considered "completely out of line" based on historical data. The P/E ratio for top technology companies is high. The Bank of England warns of an "increasing risk of a sharp correction" due to excessive optimism.

The increase in capital expenditure creates a risk of oversupply. If expectations of immediate profits are not met, investors may react quickly. Nevertheless, companies are more mature than they were in the 2000 crisis.

The question is whether the "burst" will come, when, and with what intensity – or whether there will be a smooth readjustment.