Cory Doctorow @pluralistic sums up the AI bubble:
"This isn't like the early days of the web, or Amazon, or any of those other big winners that lost money before becoming profitable. [...] AI companies have – in the memorable phraseology of Ed Zitron – "dogshit unit-economics." Each generation of AI has been vastly more expensive than the previous one, and each new AI customer makes the AI companies lose more money. [...]
Bain & Co says that the only way to make today's AI investments profitable is for the sector to bring in $2 trillion by 2030 (the Journal notes that this is more than the combined revenue of Amazon, Google, Microsoft, Apple Nvidia and Meta). [...]
Today's AI bubble has absorbed more of the country's wealth and represents more of its economic activity than historic nation-shattering bubbles, like the 19th century UK rail bubble [...]
The most important thing is the investor story and the ensuing mania that has teed up an economical catastrophe that will harm hundreds of millions or even billions of people. AI isn't going to wake up, become superintelligent and turn you into paperclips – but rich people with AI investor psychosis are almost certainly going to make you much, much poorer."
https://pluralistic.net/2025/09/27/econopocalypse/#subprime-intelligence