Alphabet chief Sundar Pichai has warned of an “irrational” rush in AI investment, telling the BBC that no company would be immune if the bubble bursts.
He noted that AI spending is at an “extraordinary moment” and cited Alphabet’s rising market value, while cautioning that investment cycles can overshoot, much like the late-1990s dot-com frenzy.
The comments come as analysts point to a web of roughly $1.4 trillion in OpenAI-related deals; OpenAI has said investors are “overexcited” about AI models, and that some of the money may be at risk.
Critics weighed in, with Ed Zitron arguing that this looks like a strategic attempt to ride the history of internet excess, while others expect more voices to speak up.
Nevertheless, Pichai stressed that AI remains a profound technology with potential to reshape many sectors, urging a balanced approach that mitigates risk while pursuing innovation.
