Real estate is real too. People need houses to live. Websites were also real value
The dotcom bub, subprime crisis, and AI bubble are all based on real goods being overvalued to hell and then crashing back down to their actual capabilities. The soze of the bubble is the delta between their actual value and the market's percieved value.
In that regard i think AI will be crazy crazy valuable in real terms but not like the market is using it. I think the real value of AI agents is very very low and the market will crash to that level. I think the value of genAI as much simpler interfaces for communication (RAG, translation, NLI) and for automated understanding of static sytems (rather than acting in dynamical systems) is high and will crash a bit before the market learns to use them right and then itll be a party
The dotcom bub, subprime crisis, and AI bubble are all based on real goods being overvalued to hell and then crashing back down to their actual capabilities. The soze of the bubble is the delta between their actual value and the market's percieved value.
In that regard i think AI will be crazy crazy valuable in real terms but not like the market is using it. I think the real value of AI agents is very very low and the market will crash to that level. I think the value of genAI as much simpler interfaces for communication (RAG, translation, NLI) and for automated understanding of static sytems (rather than acting in dynamical systems) is high and will crash a bit before the market learns to use them right and then itll be a party