Sam Altman’s comments on the potential AI bubble have sparked concern among investors and experts. In a recent dinner with reporters, Altman stated that he believes the market is in a “bubble” similar to the 1990s dot-com boom, citing the overexcitement of investors and the need for caution.
However, Altman also expressed OpenAI’s commitment to spending trillions of dollars on its data center buildout, which is expected to be completed in the near future. This move has raised eyebrows, particularly given the recent weak performance of GPT-5, a key AI project that was supposed to mark a significant leap forward.
Despite Altman’s warnings about the bubble, OpenAI itself is raising record sums of money. The company recently secured $8.3 billion in new funding at a valuation of $300 billion, and employees are poised to sell millions of dollars worth of shares to investors.
The trend of record investments into AI infrastructure is not unique to OpenAI. Tech giants like Microsoft, Meta, and Nvidia are also pouring unprecedented sums into AI data centers and infrastructure. This surge in investment has been attributed to the growing demand for AI capabilities, with Wall Street analysts predicting a significant increase in the sector’s growth.
However, some experts caution that this boom may be unsustainable. Jonathan Birch, a philosophy professor at the London School of Economics, warned that granting moral status to AI models can lead to misleading users and distract from urgent human concerns.
The debate surrounding Altman’s comments and OpenAI’s record-breaking funding is ongoing. As the AI industry continues to grow and evolve, it’s essential to consider both the benefits and risks of this rapidly advancing technology.
Sources:
– Wall Street Journal
– Bloomberg
– Reuters
Source: https://fortune.com/2025/08/19/sam-altmans-open-ai-paradox-warning-of-ai-bubble-while-raising-trillions