Are we in an AI bubble? It's a question we've been pondering at Capital Brief for some time. If you ask Jensen Huang, CEO of Nvidia, the world’s most valuable company with a USD4.9 trillion ($7.4 trillion) market cap, the answer is a resounding no.
“I don’t believe we’re in an AI bubble,” he told Bloomberg overnight after revealing a series of new partnerships and production commitments. “All of these different AI models we’re using — we’re using plenty of services and paying happily to do it.”
Then he was speaking to CNN, with a similar message against the doomsayers. “AI is now profitable, meaning AIs are now so good that they deserve to be paid for,” he said.
These are surprisingly feeble defences of the dizzying valuations and capital expenditure that have defined the AI boom since OpenAI launched ChatGPT in late 2022 — and that have almost single-handedly helped keep the US and global economies buoyant amid otherwise turbulent conditions.
