OpenAI CEO Sam Altman believes the artificial intelligence market is in a bubble, comparing it to the infamous dot-com boom in the 1990s. His comments echo warnings from other experts, including Alibaba co-founder Joe Tsai and Bridgewater Associates’ Ray Dalio.
Altman noted that investors are overly enthusiastic about AI, calling it “the most important thing to happen in a very long time.” He compared this dynamic to past bubbles, saying that smart people often get overexcited about a kernel of truth. However, he also acknowledged the risks and cautioned against speculation in weaker companies.
Other experts have raised similar concerns. Ray Wang, research director at Futurum Group, thinks Altman’s comments carry some validity but notes that the long-term trajectory of AI supports continued investment. Meanwhile, Torsten Slok has warned that the current AI bubble is larger than the internet bubble and may lead to a significant crash.
The warning comes as OpenAI prepares to sell $6 billion in stock at a valuation of $500 billion. The company’s rapid expansion into consumer hardware, brain-computer interfaces, and social media has raised concerns about its valuations and financial stability. Altman has signaled caution on some predictions, including the concept of artificial general intelligence (AGI).
As investors continue to pump money into AI startups, experts are urging caution against speculation in weaker companies and emphasizing the importance of fundamental analysis.
Source: https://www.cnbc.com/2025/08/18/openai-sam-altman-warns-ai-market-is-in-a-bubble.html