For multiple years it’s been “any minute now!”
Janx@piefed.social 17 hours ago
No source? Some experts are saying an AI crash will happen sooner rather than later…
jlow@slrpnk.net 17 hours ago
Rivalarrival@lemmy.today 5 hours ago
Every real estate agent, every mortgage broker, could see the fraud in the housing market long by 2003, but either didn’t recognize it as fraud at the time, or didn’t care. They were all making money hand over fist to prop it up.
Zero down payment, 110% LTV mortgages, seller-paid closing costs, buyer is receiving a $3000 check at closing? ARM set to triple their rate in a year? Completely absurd, but the agent is only getting paid if the deal closes. The mortgage broker is only getting paid if the deal closes. The lender is only getting paid if the deal closes. The seller is only getting paid if the deal closes. Everyone needed this deal to close, so they did what it took to close the deal.
Lenders were offering “Continuing Education” credits that RE agents needed for their licenses. That “continuing education” consisted of seminars coaching agents to encourage these deals.
By 2003, buyers were underwater with their mortgages as soon as they signed them. Yet it took 5 more years for the bubble to actually burst.
The circular financing ponzi scheme behind AI will survive until someone can’t service debt. What happens then is either the collapse of the whole scheme, or the government declaring them “too big to fail” and allowing them to reorganize into a single corporate entity.
Ooops@feddit.org 13 hours ago So exactly like an AGI emerging after just one more update.
Ultragramps@lemmy.blahaj.zone 4 hours ago I enjoyed how someone put it:
“Just one more round of funding, bro.”
Mordikan@kbin.earth 14 hours ago There is so much AI hype and so much anti-AI hype, that I doubt it really will.
For the last 4 years, we have perpetually been 90 days from both the AI market crashing and AI stealing all our jobs at the same time.
My thought is the AI market won't crash because especially in data engineering and devops there is an inherent worth. I think there will be a potential downturn in the volume of cash flowing into perhaps after the big players like OpenAI and Anthropic go to IPO, but the market itself will remain stable. Similar to how the housing bubble crash didn't actually wipe out the housing market (with or without the US govt saving the big players - it still would have survived on its own even if those players did not).
LilB0kChoy@reddthat.com 12 hours ago
My thought is the AI market won’t crash because especially in data engineering and devops there is an inherent worth.
Did you see Abthropic’s IPO filing? The company is using side down and there’s so much commingling between 3 or 4 companies that when one goes the rest will topple like dominoes.
What won’t crash are the billionaires at the top. See, they’re going to cash out with piles of money and leave the index fund investors (e.g. the every day person) holding the bag.
BCsven@lemmy.ca 16 hours ago
It will at some point. The amount the need to charge to make a profit means most people won’t use it
PushButton@lemmy.world 5 hours ago
Well, when the bubble will -pop- explode, the whole economy is going down - yours too.
You might still want to buy… Sooner rather than later…