this post was submitted on 18 Sep 2025
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Fuck AI
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Did the cloud bubble ever burst though?
It never burst explosively, just kinda slowly deflated into being normal and useful. AI won't do that; too much money (HUNDREDS OF BILLIONS OF DOLLARS!!!!) has been pumped in too quickly for anything other than an explosively catastrophic collapse of the market. At this point, it's a game of Nuclear Chicken between VC firms and AI firms to see who blinks first and admits the whole thing is a loss. Don't worry, though, the greater US economy will likely crumble significantly too ¯\_(ツ)_/¯.
The NFT bubble bursted explosively.
True, but the asset damage was largely contained there as well, since nobody actually BOUGHT ANY., and it was all fake digital assets made of fake digital money. AI/LLMslop has LOADS of physical assets, and is burning so much REAL money that it's making heads spin, not to mention the fact it has bled VC firms everywhere almost dry. It's gonna be so, so much worse than NFTs.
It didn't 'burst' so much as deflate as businesses realised paying $200,000 upfront for their own servers instead of $20,000 every month was better in the long run
The cloud still has a clear and defined use case for a lot of tangible things, but AI is just nebulous 'it will improve productivity' claims with no substance
Not even the long run. 11 months is when you'd pay $220,000 which is MORE than $200,000.
So not even a year until you're losing money.