Rethinking AI Bubble
For those worried about the AI Bubble bursting, it's not happening, at least for now, not until atleast OpenAI and Anthropic are listed (later this year).
And if you actually discount Nvidia, and check the PE of AI companies right now OpenAI (35x) and anthropic (13x), these valuations do not really seem unsustainable as of now, and not to mention unlike the DotCom bubble, they have massive data centre infrastructure, so this is all not in the air.
AI is here to stay, it's already altering our lives, taking up workspaces and transforming work, there is a massive upfront cost but that does not immediately signal a bubble unfolding.
If any bubble bursts, it would not be solely the AI Bubble, it would be the government bonds and the dollar bubble.
Edit: I wrote the post hastily, sorry for writing Valuation/Revenue as PE.