The AI sector is showing signs of entering a potentially unsustainable phase, reminiscent of historical economic bubbles. This comes as tech stock prices, spurred by AI advancements, face warnings of a possible collapse from financial authorities. Nvidia recently became the first $5 trillion company, highlighting the significant impact of AI on the market.
Despite the optimism, concerns are rising about inflated valuations and the speed of growth. The Bank of England and the International Monetary Fund have cautioned that AI-driven tech stock prices could plummet.
Nvidia's CEO, Jensen Huang, recently met with executives from Samsung and Hyundai in South Korea, celebrating with fried chicken and beer, further underscoring the current enthusiasm surrounding AI. This event, coupled with Nvidia's milestone, highlights both the opportunities and the risks associated with the rapid expansion of AI technologies.
