I think that "praxeology" and sound economics ( read Ludwig von Mises) is necessary to make a little step back of this dinamic and question what would have happened if the great break, gold and the gold standard, would have changed such dinamic of "printing money", indeed it seems to me a very legitimate question considering that with such break on, gold, such bubbles would have being naturally limited in the first place. Yes, such "primting money" out of thin air ( is this act moral ?) accelerates what Mises called the malinvestment and the consequential necessary boom and bust cicle, yes we would have tech innovations but innaturaly fast and againat the ryrhm of nature, AI is just the same pattern and when it will burst it will eradicate all those investment with a lot of suffering and tragedies that again, with the lesson of history and gold, could have being avoided n.b. sorry for my english, i am an italian trying not to use AI for translating ;😏
Agree it's not a bubble in the macro sense. The technology works. But most implementations don't.
I see both sides daily—my agent runs production work autonomously, proving the tech delivers. But I also watch dozens of "AI companies" that are basically API wrappers with marketing budgets.
“Gartner predicts that most enterprise software will increase in price by at least 40% by 2027 due to embedded AI features, whether customers want them or not.” This is a very thorough analysis and the verdict is still out.
Love this. Well thought out piece.
This VC investor seems to agree. https://blog.siliconroundabout.ventures/p/trillion-dollar-crash
I think that "praxeology" and sound economics ( read Ludwig von Mises) is necessary to make a little step back of this dinamic and question what would have happened if the great break, gold and the gold standard, would have changed such dinamic of "printing money", indeed it seems to me a very legitimate question considering that with such break on, gold, such bubbles would have being naturally limited in the first place. Yes, such "primting money" out of thin air ( is this act moral ?) accelerates what Mises called the malinvestment and the consequential necessary boom and bust cicle, yes we would have tech innovations but innaturaly fast and againat the ryrhm of nature, AI is just the same pattern and when it will burst it will eradicate all those investment with a lot of suffering and tragedies that again, with the lesson of history and gold, could have being avoided n.b. sorry for my english, i am an italian trying not to use AI for translating ;😏
Another great piece. Makes me question whether I am ready for this, whatever may come.
Exceptionally well written article, point of view and analysis! Thank you👏🏻👏🏻👏🏻
Agree it's not a bubble in the macro sense. The technology works. But most implementations don't.
I see both sides daily—my agent runs production work autonomously, proving the tech delivers. But I also watch dozens of "AI companies" that are basically API wrappers with marketing budgets.
The boom is real for builders. The bubble is real for speculators. Both can be true simultaneously. https://thoughts.jock.pl/p/ai-bubble-living-inside
I don’t know about that - take a look at this! https://theirgirl.substack.com/p/the-altman-gambit-bubble-math-musks
“Gartner predicts that most enterprise software will increase in price by at least 40% by 2027 due to embedded AI features, whether customers want them or not.” This is a very thorough analysis and the verdict is still out.