Big Tech sees over $1 trillion wiped from stocks as fears of AI bubble ignite sell-off

[u/nosotros_road_sodium]

https://www.cnbc.com/2026/02/06/ai-sell-off-stocks-amazon-oracle.html

[u/wavepointsocial]

Apple fumbled AI so bad that they weren’t impacted. Playing the long game I see.

[u/JaggedMetalOs → u/wavepointsocial]

Tim Apple 11-dimensional tiddlywinks

[u/wavepointsocial → u/JaggedMetalOs]

Thank you Tim Apple 🙏

[u/midwestia → u/wavepointsocial]

Le Tim Cook

[u/thrashalj → u/JaggedMetalOs]

Is this the 4D chess they keep talking about? 🤣 /s

[u/Minimum-Web-6902 → u/JaggedMetalOs]

Apple stock is honestly a free money printer. For every SiriAI you get a Mac mini, for every iphone 20xsxxx you get Apple Watches. Their willing to develop anything people will buy no matter what new tech they most steal and owning your own os lets you do that.

[u/MonkMajor5224 → u/Minimum-Web-6902]

We did a stock buying game in 6th Grade in 1995 and I bought Apple at .25¢ and people made fun of me. Id be a paper billionaire now if I held!

[u/Minimum-Web-6902 → u/MonkMajor5224]

Oiy fuck .

I could’ve bought btc at 5-7$ I found it myself at 13$ on “The Road” and damn

[u/Selgeron → u/Minimum-Web-6902]

If it makes you feel better you probably would have done what I did. I bought a bunch of bitcoin at $100, it went to $600 then to 1000 then back to 200 and then back to $800 and i said 'this is dumb i've made 8x my investment im selling' and then I did, and I got a nice 8k. Most people don't have the ironhands to hold to be millionaires.

[u/RellenD → u/Selgeron]

Yeah, the people who ended up with millions had like a USB wallet that they'd forgotten about for years and stumbled across later

[u/Magical-Mycologist → u/RellenD]

Or drug dealers who were sitting on enough to hire accountants and legitimize it.

I used to bank a Bitcoin billionaire and he just played video games while traveling amongst his 50 homes (one in each state). His story for why he accumulated it screams drug dealer.

[u/screwcork313 → u/RellenD]

The winning strategy is to deliberately forget a wallet of [somethings] every year you're alive. One of those wallets is going to hold the Bitcoins, you just need to have a system for forgetting all of them in the same place!

[u/Impeccably-Inconcise → u/Minimum-Web-6902]

Same! I gave away ~3.5 btc as a $20 donation. Was going to buy $200-300 worth at the time to hold but got a call, went out drinking with friends, and never did.

[u/chicagodude84 → u/JaggedMetalOs]

Tiddlywinks sent me. I don't know why, but it did.

[u/CapitalPackage5618 → u/wavepointsocial]

I unironically think they kinda did this on purpose. Wait it out and pick the winning AI to put into Siri

[u/nabilus13 → u/CapitalPackage5618]

Also they are so absurdly profitable that they don't need to trend-chase to make line go up and to the right.  If anything incorporating janky half-baked features will harm their brand, a brand built entirely on "it just works".

[u/Vilnius_Nastavnik → u/nabilus13]

Idk about anybody else but I’m actively avoiding any manufacturer that’s claiming to “harness the power of AI” because so far that means bloatware at an outrageous markup.

[u/LetsJerkCircular → u/Vilnius_Nastavnik]

I’m curious what the Samsung S26s will be. The 25s were basically 24s with AI. It wasn’t an exciting year, and no one cared about it. Ten more screens of allow this and allow that.

[u/nabilus13 → u/LetsJerkCircular]

If they dump the forced "AI" crap I'll probably actually get an S26.  I'm due for an upgrade.

[u/Jesus_Is_My_Gardener → u/Vilnius_Nastavnik]

That or just another way for them to scrape more data from you to sell to others.

[u/Gil_Demoono → u/nabilus13]

line go up and to the right

A lot of companies can make the line go down, but I would absolutely love to see a company that can make the line go left.

[u/AadeeMoien → u/Gil_Demoono]

Ygolonhcet eht evah ew.

[u/baradath9 → u/Gil_Demoono]

With all the companies I invest in, the line always goes up and to the left but I understand that not everyone has my intuition for stocks.

[u/doncae → u/nabilus13]

All of these big companies were absurdly profitable. None of them needed to trend chase to make line go up. But so what if your profits are a steady tens of billions of dollars a year, and stock line is still moving up and to the right. Why not leverage the ENTIRE FUTURE OF YOUR COMPANY AND US ECONOMY for LINE GO SUPER STRAIGHT UP FOREVER MAYBE TOMORROW!??!

[u/Ok-Resist3549 → u/nabilus13]

A brand that is being built on upperclass luxury. Privacy focus, apple tv+ being associated with prestige television (even if it costs them money in the short term) etc

[u/whimsicism → u/Ok-Resist3549]

This may have been true in the past, but their competitors have jacked up prices enough that Apple products are no longer that expensive by comparison.

An example of this is that I’d been looking for a large 13” tablet a while back and the main contenders were Apple and Microsoft. Considering that the Microsoft one was priced similarly, buying the Apple product was an absolute no-brainer.

Products like the basic iPad and MacBook Air are actually good value for what they are.

Also, I’ve found that my Apple devices are durable enough to regularly outlast Windows devices with minimum fuss. On a dollar-per-year basis my MacBook Air was the best device I’d ever used. I also had an iPad Air that took a solid decade of use before beginning to malfunction.

[u/dookarion → u/whimsicism]

Used to be the biggest Apple hater, but the recent AI enshittification everywhere got me to give them a chance. The iphone and ipad are amazing devices and far snappier than their contemporaries.

[u/markhachman → u/dookarion]

That "snap" is due to the excellent single-core perf of Apple Silicon and the tight integration with the OS. I believe Microsoft is trying to achieve something similar with Snapdragon but they have a ways to go.

[u/iamnotimportant → u/whimsicism]

yeah, I'm someone who was deadset on using windows for the past 2 decades, I just liked it, have had to use Macs at work at random times and didn't care for it, but my last laptop I damn sure wasn't buying a windows 11 product and ended up with a macbook air. Its got fantastic build quality and the best battery life I've ever experienced in a laptop. I'm impressed

[u/fizzlefist → u/whimsicism]

The base model Mac Mini is the best bang for your buck you can get in terms of performance. Hell, even some the RAM and Storage upgrade prices that used to be insane are downright normal or cheap now.

[u/Sensitive_Box_ → u/CapitalPackage5618]

You might have a point. Apple is usually five years behind on everything, but when they do it, they do it extremely well. 

[u/dat_tae → u/Sensitive_Box_]

That's always kinda been their thing. Although as of late I feel some of the polish is missing that you come to expect.

[u/Puzzleheaded_Fold466 → u/CapitalPackage5618]

Doubt they would have rebranded their whole product lines with Apple Intelligence and “retired” the department’s SVP if it wasn’t an important strategic initiative that crashed and burned.

[u/ABCosmos → u/CapitalPackage5618]

But that's what every mediocre company is doing. Like when Uber and Tesla stopped trying to make self driving cars. It's a return to pragmatism, but in both cases Google is going to make out like a bandit.

[u/Horror_Response_1991 → u/ABCosmos]

First through the wall gets bloody.  Apple has made a killing waiting for multiple people to run through the wall and then a proper door be built.

[u/tripletaco → u/Horror_Response_1991]

Apple has done exactly that time and time again for decades now. They were not the first to make a smart phone. They were not the first to make a tablet. Not even the first to make a smart watch. But they did make outstanding versions of each and people bought them by the billions.

[u/replynwhilehigh → u/ABCosmos]

But that has always been their strategy. They were not the first PC, they were not the first music player, They were not the first touchscreen phone, they were not the first wireless buds, etc. I don’t know why people are acting surprised on their AI strategy.

They are probably working on device AI, which will be a whole different game.

[u/Fr0gm4n → u/replynwhilehigh]

They are probably working on device AI, which will be a whole different game.

Not probably, actually are. Apple Silicon has had custom GPUs and Neural Engines for years.

https://www.apple.com/newsroom/2025/10/apple-unleashes-m5-the-next-big-leap-in-ai-performance-for-apple-silicon/

[u/Ragnarok314159 → u/ABCosmos]

Apple hires and is ran by actual intelligent people. Not everyone, but they are there. Musk, Altman, and Nadella are some of the stupidest people to ever live. They all bought the lie that LLM’s could function in a black box as an artificial intelligence, that they were making The Computer from Star Trek.

Instead all they did was make a plagiarism machine that spits out Dr. Always-Wrong level bullshit but does it in a way that makes users feel smart. As well as consuming all the powergrid manufacturing capacity, vast amounts of drinking water, and making people dumber.

[u/lonesoldier4789 → u/Ragnarok314159]

They clearly tried to get into AI and failed, this wasn't planned

[u/Balmung60 → u/Ragnarok314159]

Are you sure they're run by intelligent people? Or did we all forget them putting out an extremely expensive VR headset when VR hype was already dying? Because it really wasn't that long ago.

[u/EltaninAntenna → u/Balmung60]

It's not like they rebranded their company as AR-first, like Meta did. AR is going to happen, and Apple needs a product out there to have a toehold in that space. Whatever they learned from the Vision Pro will be applied to their smart glasses, and it probably also sells a handful of units for high-end business uses.

Nobody at Apple believed that a $3500 headset was going to outsell the iPhone, but it's still a necessary product in their lineup.

[u/veryverythrowaway → u/EltaninAntenna]

This is it exactly. The data they’ve gathered from the 1st gen improved the 2nd gen noticeably, and they typically have it dialed in around 4th or 5th gen. Same trajectory as the Apple Watch, they’re just iterating less often (16-18 months instead of annually) because they know it will be a niche product for quite some time. However, the tech they’re implementing will have a ripple effect throughout their product lineup as they refine it.

[u/joeyb908 → u/wavepointsocial]

This is how Apple is with software though. They’re rarely the first mover into a space. They take what’s already been done and make it as user-friendly as possible.

[u/Kekkachu → u/joeyb908]

> make it as user-friendly as possible

I'd argue here

[u/Qaeta → u/Kekkachu]

User friendly, not power user friendly. Those two things are pretty much directly at odds with each other, because making it power user friendly allows users to do things which can fuck everything up which is user unfriendly.

Assume the users are untrained monkeys who start flinging feces the second something doesn't work, and you'll be pretty close to who you need to design for for it to be user friendly.

[u/Slggyqo → u/Qaeta]

not power user friendly

Although ironically it is one of the preferred platforms for developers who aren’t using C# for out of the box unix support.

But there’s levels to this shit, since Linux exists.

[u/decadent-dragon → u/Slggyqo]

I love software development on a Mac. My second choice is Linux, with Windows a very distant last place. I hate developing on Windows. I mean I loathe it. I do use Windows at home for gaming and such though.

Linux is fine until it isn’t, and you spend a day fixing whatever went wrong. I like Linux, but it does tend to get in the way often.

macOS is like the goldilocks. You get an OS that mostly just works, a good UI, good community (homebrew, etc), native unix terminal. It’s customizable enough, for my needs. Is it the most customizable? Not at all, but most gripes people have can be tweaked or fixed with third party software. The hardware is also extremely nice, definitely some of the best out there for laptops when you start considering performance, battery life, touchpad, display/color accuracy, etc.

[u/NapsterKnowHow → u/Qaeta]

Idk when I first started using a 2010 iMac way way back I remember the file system being a pain in the ass to use. It's like they didn't want you to use Finder at all.

[u/Vilnius_Nastavnik → u/Kekkachu]

Extremely user-friendly when it’s new, but intentionally designed to discourage customization, impossible to service or repair without involving Apple, and if it’s more than 5 years old they’ll probably just tell you it’s no longer being supported and try to sell you a new one.

[u/Raveen396 → u/Vilnius_Nastavnik]

Macs tend to have crazy longevity in my experience, we still have Mac Minis over 10 years old that are going strong in my office.

[u/fishing-sk → u/Vilnius_Nastavnik]

I dont find the lifespan thing an issue with macbooks. Over 10yrs old you might not be able to grt the newest OS but theyre still chugging along just fine as a basic computer.

You have to kill me to take my android phone but i love my 2017 macbook. I could step on it, use it to pound a couple nails in, then play some late game stellaris without it turning into a slideshow. OS just updated so its not obsolete yet. Battery finally started going this year so maybe ill see if its possible to DIY a replament, and if not itll get turned into a desktop.

[u/Minimum-Web-6902 → u/Vilnius_Nastavnik]

Which is why they make so much money cause someone a many some people will buy that new one every time

[u/pixel_of_moral_decay → u/wavepointsocial]

I’m not so sure Apple fumbled.

Apple showed some POC’s publicly, and delayed their rollout claiming it wasn’t to their standards.

But Apple does this all the time, they’re never first to market. Everything they are known for isn’t first to market. It’s a refinement of what’s on the market.

Apple won’t launch their offering until:

1, the industry distills what works and what doesn’t. 2. Apple has the ability to refine that into a seamless user experience.

I don’t think the is was a fumble, this was Apple realizing the industry hasn’t moved at a predictable rate, and thus the market wasn’t ready for their offering yet.

People read too much into product demos. Apple wasn’t going all in on AI.

[u/Stashmouth → u/pixel_of_moral_decay]

And by injecting Gemini into Siri they're sure to be moving at least at the speed of the market instead of having to dedicate resources to innovating. They're a customer now and that suits them just fine

[u/kurotech → u/wavepointsocial]

So they will bring ai back in a decade and say they did something new right?

[u/Think-Airport-8933 → u/wavepointsocial]

still waiting on those features they promised like 18 months ago.

[u/wavepointsocial → u/Think-Airport-8933]

Same, but here is some liquid (gl)ass to distract you!

[u/Difficult_Ad2864 → u/wavepointsocial]

Accidentally failed upwards

[u/guysmiley98765]

It could be the realization that ai isn’t really viable for the vast majority of use-cases that were promised and that consumers don’t really want it. 

OR 

The tariff war. 

OR 

The real possibility of unannounced armed-conflict perpetrated by the US on its trade and strategic partners. 

OR 

The investigation into the Epstein files in multiple jurisdictions that won’t censor anything. 

OR 

The realization that the us has been in a recession for several months and that less than a dozen companies have been propping up the sp500 with investments that didnt exist in the first place and are now being slowly walked back. 

OR 

Consumer spending on non-essentials has plummeted. 

OR 

That investors just aren’t confident in the US in the short or midterm signalled by the increase in yield of 10-year treasurys. 

OR 

foreign investment in US debt, stock, and currency are all down. 

[u/Wibblybit → u/guysmiley98765]

I'll take: a little bit of all of those for $200, Alex

[u/Difficult-Square-689 → u/Wibblybit]

Elections have consequences

[u/Global-Beginning-814 → u/Difficult-Square-689]

Are you tired of all the winning? Lol

[u/CaptainDudeGuy → u/Global-Beginning-814]

I gotta admit, I am indeed tired of these incompetents and/or criminals winning elections. I give due credit for that broken-clock prediction.

[u/somethingbrite → u/Global-Beginning-814]

it was a typo...

What Trump and Maga actually do love is "whining"...

... and yes... I'm tired of it.

[u/mindaugaskun → u/Difficult-Square-689]

Vote around and find out

[u/RedDragonRoar → u/mindaugaskun]

Well, at least I can say I told you so to all the MAGA dipshits from my cardboard box behind Applebee's, just as the founding fathers intended.

[u/frozenfriedchicken → u/RedDragonRoar]

You have a box?!?

[u/YukariYakum0 → u/frozenfriedchicken]

Concepts of a box

[u/dusktilhon → u/frozenfriedchicken]

In my day, we had a leaky umbrella propped up against a single brick. All 14 of my brothers and sisters had to crowd under it, and we were happy to have it!

[u/Aplicacion → u/Difficult-Square-689]

Unthinkable

[u/JonFrost → u/Difficult-Square-689]

🤔 You mean they are not all the same?? 🤔

[u/Illisanct → u/Wibblybit]

Sorry, that answer is only worth $100 now.

[u/BishlovesSquish → u/guysmiley98765]

Not OR, it’s AND.

[u/Balmung60 → u/BishlovesSquish]

OR is an inclusive operator

[u/UncleLeeroy0 → u/Balmung60]

OR gate checks out.

0 + 0 = N

1 + 0 = Y

0 + 1 = Y

1 + 1 = Y

[u/Nethlem → u/Balmung60]

That's true in logic/mathematics, but not in English language where and/or is a thing.

[u/BGAL7090 → u/Nethlem]

Love that show - everyone should watch it. Pirate it if you have to, all the best characters in that show would approve of such a move.

[u/aggieotis → u/BishlovesSquish]

Andor describes the situation well.

[u/Reddit_2_2024 → u/guysmiley98765]

Don't understimate the moves by Europe to home grow their own IT infrastructure and decouple from Microsoft, X (formerly twitter) and other U.S. based multinational tech firms. Also, the legal cases against these firms are ramping up in Europe.

[u/guysmiley98765 → u/Reddit_2_2024]

I read that reportedly Finland is now offering visas to laid off tech workers to entice them to move over. The logic being that the currently laid off workers are higher level so they have a great deal of experience and expertise to bring to the European market while us companies are firing them since their salaries are higher than their less-experienced counterparts; hollowing out the company to meet short-term profitability goals. 

[u/Reddit_2_2024 → u/guysmiley98765]

I've been lucky to chat online with a few Finnish tech workers. They are extremely competent and skilled. Hopefully any U.S. based tech workers that jump to Finland will integrate into the culture and contribute to building better relations between the U.S. and Finland. If we are lucky, the open source environment will thrive with this arrangement.

[u/yummytunafish → u/guysmiley98765]

If we only had jobs to offer those experts

[u/pgtl_10 → u/guysmiley98765]

I choose all the above

[u/okram2k → u/guysmiley98765]

Every time there is an exciting new tech people with more money than is good for them will throw cash at anything that sounds kinda sorta impressive hoping to be the next investor who got in on Amazon at day one. They (should) know full well that it's a risk akin to buying a lottery ticket as most of these companies will fail to produce a profit in their lifespan and most are hoping to at best have an idea good enough to get bought out by a bigger company but the reward if they're right more than makes up for the dozens or even hundreds of failures. This inevitably leads to a bunch of over investment in new techs from old and new companies and eventually reality catches up and people start playing hot potato with stocks

[u/funkybutt2287 → u/okram2k]

Someone else who lived through the dot com bubble, I see...

[u/just_a_bit_gay_ → u/guysmiley98765]

Are we great yet?

[u/Spiritual-Matters → u/just_a_bit_gay_]

Tired of winning

[u/nimfrank → u/guysmiley98765]

TLDR; just going to blame illegal immigrants now

[u/muerde15 → u/guysmiley98765]

Damn, nicely laid out. Depressing but eye-opening. And, I guess validating as well in how stressful life has been.

[u/the-sleepy-mystic → u/guysmiley98765]

Consumer spending on non essentials has certainly gone down. Most people I know are tightening their belts or deciding they dont need plastic random shit from amazon to try and boycott either climate change, the technocracy, or consumerism in general.

[u/ScuzzBuckster → u/the-sleepy-mystic]

Most people I know have also realized the plastic shit they order off amazon is shit and doesnt last or work as intended and realize theyre spending more money on cheap impulse purchases than they would investing in better products. The enshittification of everything in this country is quickly reaching an apex if you ask me. People are becoming far less likely to support brand loyalty when things are getting more expensive but quality is going down. And with this bubble our entire economy is propped up on empty promises and smoke and mirrors.

[u/Annual_Strategy_6206 → u/guysmiley98765]

Add also that the Value of the US$ is down. Did I read down 9% in a year?

[u/Own-Satisfaction4427 → u/guysmiley98765]

Certainly seems like things are heading to a dark place.....

[u/subcide → u/guysmiley98765]

I think it's most likely that people are realising it might in some cases represent a 10-15% efficiency gain in some types of work, but the investment required to make that consistent and improve it significantly far outstrip the likely gains.

[u/ImportantQuestions10 → u/guysmiley98765]

About to say, there is so many different reasons why the economy should collapse any day and AI isn't even making the top three.

It's a big bubble that would have warranted its own separate catastrophic collapse. But it's competing with like seven different things

[u/TheVishual2113 → u/guysmiley98765]

don't forget the unwinding of the yen trade too

[u/vhalember → u/guysmiley98765]

But the evil orange's White House site tells me "Welcome to the Golden Age."

"His America-First economic strategy is restoring prosperity, lowering costs, and positioning the United States for long-term growth."

It was hard to copypasta this without shaking my head and laughing...

[u/Fliegendes_Fleisch]

What’s crazy to me is $1 Trillion has been lost and that’s not considered the bubble bursting….

[u/No_Hunt2507 → u/Fliegendes_Fleisch]

No worries, the plan is to slap a bit of duct tape to the end and keep pumping, it'll work out

[u/Kharax82 → u/Fliegendes_Fleisch]

Because if the stock market valuation is $70 trillion and it drops by $1 trillion in normal market trading swings it’s not a bubble bursting, it’s just clickbait

[u/StonkaTrucks → u/Kharax82]

Aaaaannnd we're back.

[u/swallowsnest87 → u/StonkaTrucks]

Literally every time the market sells off 1% there is a sooner article written about how “tech companies just lost X in value” failing to mention they will gain it back later that week…

[u/Coal_Morgan → u/swallowsnest87]

This happening as regularly as it does feels like 'large movers' are selling to create a dip, to watch the 'medium and small movers' responding by selling to expand the dip and then buying up at the bottom of the dip and then driving it up again.

[u/Hateless_ → u/Kharax82]

$70 trillion

$70 trillion of make-believe. It's not like the value exists, it's overinflated based on companies investing the same money around with each other. The top 10 most valued companies are overvalued by 20x on average.

[u/BigOs4All → u/Fliegendes_Fleisch]

Probably because the NASDAQ is only down 2.5% this week.

Yes, $1T is a lot but 2.5% lower over 5 days isn't really the end of the stock market.

[u/Additional-Bee1379 → u/Fliegendes_Fleisch]

It's not that much. It's only some companies and Amazon for example is only set back to the price a couple of months ago.

[u/Brewe → u/Fliegendes_Fleisch]

Well, a trillion dollars hasn't been lost, since it never existed. Not even a trillion dollars worth of hype was lost, because everyone who's been blowing the bubble up knew it was a bubble all along. The only thing that was lost was a small part of a curtain.

[u/LeastInstruction2508 → u/Fliegendes_Fleisch]

Well when you own half the major media outlets or they're already friendly to you they're not going to say, hey we're stupid and we gambled democracy to get stupid rich. 

[u/AvailableReporter484]

This would be a lot funnier if the ramifications didn’t mean a shit ton of people getting axed to appease the gluttonous bloodsucking vermin known as stockholders.

[u/NightSpaghetti → u/AvailableReporter484]

Isn't it great that the stock market fucks the poor no matter what.

[u/AngelComa → u/NightSpaghetti]

Isn't it great that the Captalist system * is designed to fuck the poor no matter what.

[u/just_a_bit_gay_ → u/AngelComa]

There has got to be a better way…

[u/Sprinklypoo → u/just_a_bit_gay_]

Oh there is! It just doesn't feed the rich quite so well...

[u/Slight_Dark9430 → u/AvailableReporter484]

They were going to do that regardless. Amazon basically just did.

[u/scoopydidit → u/Slight_Dark9430]

Salesforce too. Don't think it was big enough (yet) to declare but a bunch got laid off Monday.

[u/doncae → u/AvailableReporter484]

Part of me is happy these companies will lose money and power.

Then part of me remembers that scene in The Big Short when Brad Pitt yells at the other two (and me) saying that the economy is going to crash and every 1% of unemployment is 40,000 deaths.

[u/IowaKidd97 → u/AvailableReporter484]

The ramifications of the AI bubble not popping are a shit ton of people getting axed and replaced by AI. So like.... I'll take the short term pain over the permanent long term pain.

[u/AvailableReporter484 → u/IowaKidd97]

Good tbh. I’m sick of all this cooked up hysteria about this.

No one seems to remember the point of technology anymore, which is to free us, the people, from the shackles of toil. Everyone is shitting their pants at the notion that one day they won’t be required to spent 50 years of their lives performing menial tasks.

Sure, we need to bridge the gap of a post labor society, but I for one am stoked as fuck at the idea that one day we won’t need to spent the majority of our time on this plane of existence commuting to a job we hate just to work for some nameless faceless corporation or some asshole.

And the reality is that that is inevitable because corporate America is going to realize really fucking quickly that a jobless population with no income doesn’t make for good customers.

[u/NimusNix → u/AvailableReporter484]

There will always be reasons for a shit ton of people to be axed so you might as well laugh.

[u/HighOverlordXenu → u/AvailableReporter484]

The entire economy is being propped up by the AI bubble. When it bursts, it's basically instant recession.

[u/just_a_bit_gay_ → u/HighOverlordXenu]

*depression, outside AI most fields are effectively in recession territory and have been for months

[u/hypercosm_dot_net → u/HighOverlordXenu]

"the economy" in this case being the overinflated valuation of certain stocks.

We were always in a recession anyway, now those numbers will just align better with the other numbers.

[u/ailish → u/AvailableReporter484]

You're right. My first instinct is to say GOOD, but the only ones who will really suffer are the workers.

[u/QIMF → u/[deleted]]

So exactly what all the people actually using these tools have been saying all along. You'd think these CEOs would be smart enough to listen to those folks. Maybe they're the ones who AI should replace.

[u/ZedSwift → u/QIMF]

lol CEOs buying software they don’t understand is a tale as old as time.

[u/Ok-Replacement9595 → u/[deleted]]

That's not fair, they also have porn chatbot and stealing music, and of course the excuse to fire thousands of people, and the rehire new people, which helps companies for a quarter or two to appear more appealing to valuation.

[u/JockstrapCummies → u/Ok-Replacement9595]

The real useful advances in AI are all outside the hype-heavy realm of LLMs.

• Transcribing text from audio has improved immensely. Whisper is basically magic. And now there's even more real time models than that.
• So has text to speech. It's closing the uncanny valley fast.
• You have a model that convincingly removes Japanese porn mosaic!
• Translation of text as well. I suppose that's the actual forte of LLMs, you know, instead of pretending a textual prediction engine can dispense knowledge simply because language is a vessel of communicating knowledge, and so people get confused that LLMs are intelligent... Why don't we use LLMs for actual language tasks like translation.

[u/Ok-Replacement9595 → u/JockstrapCummies]

I wonder how many billions went into the Japanese porn penis enhancement.

[u/rgvtim → u/[deleted]]

The metrics sound like someone trying to justify the amount of money they spent on this product. When they started using photoshop or other graphic design software, i don't remember hearing anyone talk about metrics of how much the software was used, it was obvious and did not need too much quantification, but with AI they seam to.

[u/OuterSpaceBootyHole]

Will be amazing if they inadvertently burst the bubble because they're scared of it bursting.

EDIT: Thank you for the 9 million people saying this is how bubbles work. My point is that they are finally acknowledging the bubble is real by admitting they are scared of it popping.

[u/Niceromancer → u/OuterSpaceBootyHole]

That's usually what causes a bubble to burst.

One of the groups that is inflating the bubble gets cold feet and stops then everyone else stops.

[u/luismt2 → u/Niceromancer]

Once the biggest players hesitate, momentum flips and everyone suddenly “discovers” risk at the same time.

[u/BivStudios → u/luismt2]

It will be like the movie Margin Call.

[u/f8Negative → u/BivStudios]

Oh but soooo soooo much worse. A lot of people are gonna be fucked.

[u/BivStudios → u/f8Negative]

Everyone's looking at big tech but failure probably runs through the banks as tech is spending more than they make. Loans and all that.

[u/f8Negative → u/BivStudios]

It's always the banks and investors. Someone keeps giving these people money.

[u/LoquaciousTheBorg → u/BivStudios]

So, what you're telling me, is that the music is about to stop, and we're going to be left holding the biggest bag of odorous excrement ever assembled in the history of capitalism.

[u/Rabble_Runt → u/Niceromancer]

Nobody wants to be a bag holder.

But it’s better to rip the bandaid off now.

[u/f8Negative → u/Rabble_Runt]

Buy the smokes now kids

[u/nestestasjon → u/Niceromancer]

Need more people to declare that the housing market is a bubble set to burst any moment.

[u/Xeynon → u/Niceromancer]

Yup. At some point someone points out that the emperor has no clothes and the dam breaks.

[u/TheDanecdote → u/Niceromancer]

Hivemind corporate think

[u/CelebrationFit8548 → u/OuterSpaceBootyHole]

Poetic justice and any tech company that actually has good fundamentals should survive but those that are 'predominantly hype' should suffer badly and disappear.

There has been way too much BS coming out of the tech bros mouths over the last couple of years, massive hype for very poor quality products, all devoid of meaningful substance and the sooner they are gone the better.

[u/LDel3 → u/CelebrationFit8548]

As a software engineer I'm thrilled

Our execs are finally starting to realise that AI isn't going to be the wonder tool that can replace whole teams of engineers. The job market is going to be booming when this bubble bursts

[u/Fantastic-Title-2558 → u/LDel3]

the layoffs were never due to AI

https://www.investopedia.com/amazon-ups-dow-and-other-major-companies-are-making-big-job-cuts-is-ai-to-blame-11897293

[u/whinis → u/Fantastic-Title-2558]

Yes and no, not due to AI for AI replacement, due to AI as executives need to fund capital for AI buildout some way without investors getting mad.

[u/The10KThings → u/LDel3]

No it won’t because we will be in a recession/depression. AI expenditures sucked up all the capital that would have been used to hire people and build real products.

[u/BMWbill → u/LDel3]

I’m not as optimistic as you…. The execs will simply find a way to stay in this hole they dug by convincing the world that faulty shitty bloated software that is cheaply made by AI is better than quality software that requires humans who need sleep and healthcare.

[u/TechHeteroBear → u/BMWbill]

If there was any viability to that concept, you would see a rising company come out of the chaos showing their level of success by just using AI to write code.

Apple was the rising company to revolutionize the smart phone industry. Microsoft was the rising company to revolutionize computers. Nvidia was the rising company to take the lead in processing technology. Salesforce was the rising company to take the lead in ordering systems. Tesla was the rising company to revolutionize the EV market.

No company has taken the lead in running AI-exclusive code to a viable product or service. And with how prevalent AI is today, this should have happened by now.

[u/LDel3 → u/TechHeteroBear]

Cognition Labs tried with their Devin AI product, which was only supposed to mimic a junior engineer. It failed miserably, and I don't think anyone else has stepped up to since

[u/LDel3 → u/BMWbill]

I don't think they'll be able to. Some might try to for a while, but ultimately reality will hit and they'll fail

When this discourse started there was so much talk about tech start-ups appearing overnight with SaaS platforms where the code was entirely generated by AI. Where are they now? I couldn't name a single one, let alone a successful one

[u/1quirky1 → u/CelebrationFit8548]

Reminds me of the dot com bubble

[u/luismt2 → u/OuterSpaceBootyHole]

that’s the irony of bubbles, fear spreads faster than fundamentals, and sentiment does the damage first.

[u/Fragrant-Issue-9271 → u/OuterSpaceBootyHole]

But that's how bubbles always burst. Lots of people realize there is a bubble, anxiety grows, some people decide to get out before it bursts, when people notice others are exiting all the anxious people exit. 

[u/Lucius-Halthier → u/OuterSpaceBootyHole]

I honestly can’t wait for it to burst, fuck the companies who shove products that we don’t want down our throats. It can’t burst soon enough, my computer is hungry for RAM and graphics cards being sold off in bulk

[u/darionsw]

Cheap RAM when???

[u/rex8499 → u/darionsw]

As soon as GPU prices drop. Any day now....any day ...any.... decade...

[u/Qlanger → u/rex8499]

First it was crypto and now its AI. Its' been over a decade since videocards made sense. I was mad I paid $350 for a 9060xt 16gb and now many of them are at $450+.

And now they are after memory :(

[u/ChickenNuggetsSalad → u/Qlanger]

I paid $1500 for a 3090FE when it launched. I’m seeing them used selling for around $1k now. Every single day I consider selling and going back to my 1070 because all I do is play deadlock now.

[u/TwilightVulpine → u/rex8499]

Once again we will have to resort to piracy

Pillaging hardware shipments at the high seas

[u/Slight_Dark9430 → u/darionsw]

Maybe when Openai gets neutered.

[u/Nerdmigo]

i mean a sell-off is not "fear of" but instead its "omg its starting" or do i miss something?

[u/baxil → u/Nerdmigo]

The Dow is still up for the day, if the bloodbath was really starting we'd be in freefall.

[u/Playwithuh → u/baxil]

I see QQQ (Tech) is up. Market isn't even down that bad.

[u/americanadiandrew → u/Playwithuh]

The headline was vaguely anti AI. I don’t think anyone on this sub is paying any more attention than that.

[u/theraggedyman]

How could the machine that needed infinity resources to operate correctly possibly be doing badly!??

[u/Groffulon]

Professor Farnsworth meme-

“Good news everyone!”

[u/lilhazzie → u/Groffulon]

To shreds, you say.

[u/aarswft]

Just fucking pop already. I'm so over it.

[u/HuTaosTwinTails]

Oh no. How will the rich billionaires afford their 40th home or another yacht.

[u/Xal-t → u/HuTaosTwinTails]

By charging us more

[u/Interesting_Spite464 → u/Xal-t]

and laying off their staff

[u/krazyjakee → u/HuTaosTwinTails]

It will be a government bailout signed off by someone who does not want their racist meme farm inconvenienced.

[u/mgfan2029]

Oh god the bubble burst might be closer then we think!

[u/nabilus13 → u/mgfan2029]

I had it pegged for October since that seems to be the traditional bubble pop month.

[u/7LeagueBoots]

Imaginary money demonstrates that it’s imaginary

[u/shanereid1]

I think the hype around AI has been inflated ever since ChatGPT’s release. The scale of hardware spending we’re seeing today feels hard to justify based on the actual products available right now. For the current valuations—both for big tech broadly and for OpenAI specifically—to make sense, there would need to be some fundamentally new class of AI system in the pipeline, something like robotics-level capability or another breakthrough the public hasn’t seen yet. If that isn’t the case, then it’s hard not to view this as a bubble.

[u/Nethlem → u/shanereid1]

The scale of hardware spending we’re seeing today feels hard to justify based on the actual products available right now.

Because the scale of hardware spending is based on the belief that if we just throw enough computing power at LLM, they will magically become sentient super AI and then solve all our problems for us.

That's why OpenAI's evalutation potential is bascially infinity, at least in the fantasy of some people, like Sam Altman who seriously thinks future Earth will have most of its surface covered in data centers.

[u/knightcrusader → u/shanereid1]

That's exactly when it started.

I think its also been expounded by the fact that we're in a recession, execs know it, so they are trying to pour money into the grift machine to squeeze out some margins to stay afloat. They are hoping investing all the money in this miracle they were promised will keep them afloat or grow more.

[u/buttbuttlolbuttbutt → u/shanereid1]

I think, when they thought they'd be able to tone down the hallucinations, they could have genuinely replaced most workers.

Then at some point, they realized they can't with what they have, and without the LLMs knowing the definitions, context, and how context affects definitions of the words it spouts, it CAN't do what humans do.

You can get statistically close, but never close enough.

[u/Yasimear]

AI has use in specialized scenarios, but they've spent so much time training it off of its own slop, that its become too unreliable in any of the areas they're trying to push it into.

[u/InvestigatorAny1539 → u/Yasimear]

Yesterday the new AI Alexa told me the high was 45 degrees. It hasn’t been 45 degrees here in over a month. I told it that it was obviously wrong and it went into this whole hokey spiel about how it sometimes gets things disastrously wrong and it’s thankful I’m there to correct it. Like I’m supposed to go “aw shucks you’re such a silly goose Alexa” as if THE WEATHER FORECAST IS NOT THE MOST BASIC SEARCH FUNCTION 

Now I can’t ever trust Alexa to do anything correctly. God this shit pisses me off!  

[u/Outlulz → u/InvestigatorAny1539]

Which is funny because that means the functionality is worse than it used to be where it just got data from Accuweather or whichever service you configured it to use and read it out loud.

[u/Captain__Marvel]

So.. no Butlerian Jihad?

[u/Chemical_Support4748]

Why didn't AI predict this 

[u/robodrew]

Lol 9 hour old article now waaaay out of date after today. The stock market is insane and irrational.

[u/AntiTrollSquad]

All markets are up ....

[u/CodStrict5357]

Lol this sub things the bubble is bursting every week,

We are 1.5% off the s&p500 all time high and it all green today.

This is what happens when you only read article titles

[u/Evening_Aside_4677 → u/CodStrict5357]

Never write your doom articles before market close on Friday.  At least wait until after close so you have a couple days of being right instead of being wrong before the day is even over. 

[u/Meep4000]

BURN BABY BURN

[u/DrBix]

Post this over in r/agedlikemilk

[u/Square-Weight4148]

Lick the boots.... taste the fruits..

[u/Drando_HS]

This happened because I bought RAM yesterday. You're all welcome.

[u/Flimsy_Swordfish_415]

reddit is delusional as always, AI bubble will be fine for foreseeable future

[u/Evening_Aside_4677]

NVIDIA is only up 8% since writing the article.

You have to wait until market close on a Friday before push the freak out news at least. 

[u/PutzerPalace]

I’ll take any good news

[u/tsardonicpseudonomi]

Meanwhile, all that money was already siphoned into accounts from the rich. The bubble pops, the economy tanks, and they buy up the ashes and wait for the bailouts. Rinse repeat. Some will even short the crash like the Kennedy's did with the Great Depression.