Jeff Bezos, Amazon’s Executive Chairman, has compared the current surge in artificial intelligence (AI) investments to the biotech and dot-com bubbles of the past. While he warns investors of potential losses, he emphasizes the long-term societal benefits and transformative power of AI.
According to Bezos, every AI company today receives funding regardless of the strength of its idea or whether a product is ready. Early-stage investments are so massive that it becomes challenging for investors to differentiate between sustainable business models and speculative projects.
Despite these risks, Bezos is confident that AI will revolutionize every industry and significantly increase business productivity worldwide. He likened the current AI hype to the 1990s biotech boom, where many companies failed but ultimately led to the development of effective medicines. Similarly, the dot-com bubble gave rise to today’s internet giants.
Bezos also highlighted that investment flows are not limited to AI developers. Infrastructure projects, such as data centers, chip manufacturing, and applications, are also receiving substantial funding before fully establishing their computing capabilities.
Recent examples illustrate the scale of the AI boom: BlackRock is negotiating to acquire Aligned Data Centers for $40 billion, and OpenAI was recently valued at $500 billion during a secondary share sale, becoming the world’s most valuable private company.
While some investors warn of market overheating, Bezos urges a broader perspective. After the market corrects, only companies capable of delivering real results will remain. “Once the dust settles, society will benefit from these innovations,” he said.
Bezos concludes that despite potential investment losses, the immense long-term advantages of AI for humanity are inevitable.
