Over the past few weeks alone, several AI leaders, including OpenAI CEO Sam Altman, began hinting that they expect governments to step in and bail out AI companies if and when the bubble bursts. After all, the U.S. government did exactly that in March of 2023 when Thiel’s last big withdrawal of funds (from Silicon Valley Bank) precipitated a series of bank collapses.
With so much pension money and other public funds riding on AI stocks Carney could also decide to bail out AI giants and data centre builders with public funds, rather than take a precautionary tact and pull out investments now from over-bloated AI firms.
This is just normal contractions during the approach to the new year. I mean AI is a bubble, and hopefully it will burst before we have major breakthroughs in robotics and battery technology, but I feel like the Al bubble has another 1-2 years before there is a huge implosion at the consumer and business level. It will still be viable in military and industrial capacities, and a few other niche applications/fields