---
title: "Are we in an AI Bubble?"
url: https://daily.dev/posts/are-we-in-an-ai-bubble--byt0axyuf
source_url: https://www.youtube.com/watch?v=O4qDLJ7A8vc
type: video:youtube
source: "Theo - t3․gg"
published: 2026-07-03T17:17:43.730Z
updated: 2026-07-04T08:21:01.752Z
tags: ["webdev", "javascript", "react", "typescript"]
reading_time: 1
upvotes: 67
comments: 16
language: en
---

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# Are we in an AI Bubble?

**[Theo - t3․gg](https://daily.dev/sources/t3dotgg)** · 1 min read · 67 upvotes · 16 comments

## Summary

A candid take on whether AI is in a bubble, drawing parallels to the dot-com era. The author acknowledges AI is experiencing bubble-like dynamics but distinguishes between the speculative layer (like NFTs or domain flipping) and the underlying technology's real value (like the internet itself). The key uncertainty is where AI falls on that spectrum — a passing fad or transformative infrastructure.

## Full article

daily.dev links to this article rather than hosting it. Read it at the original source: <https://www.youtube.com/watch?v=O4qDLJ7A8vc>

## Community discussion

Top comments from developers on daily.dev.

**@confidentcoding** · 13 upvotes

> I think the answer is undoubtedly yes. LLMs will never deliver in the way they are selling them as (apparently even Alex Karp is now saying this!!), and Ed Zitron has really exposed the untenable financials.
>
> That's really the thing: it would be more of a _transformation_ vs. a bubble if the capex would come down to earth. The exorbitant funding and AI washing layoffs fuel what would normally be a progressive evolution of knowledge work into a rapid hype cycle that IS going to eventually either "pop" or "deflate"

**@starfallcodes** · 12 upvotes

> "is water wet?" ahh question

**@bits\_and\_bytes** · 4 upvotes

> Yes I agree with you. AI wont deliver the expected products it requires lot of handholding and efforts . for AI i felt ROI 05$ for spending10$

**@jae** · 3 upvotes

> The key really is the business position of these AI companies. If you put them all together, the profits they are all expecting just does not match the reality of their revenue.

**@di2namic11** · 2 upvotes

> I think we are always in some kind of bubble. The real questions are "When is it going to pop?", "What are going to be the consequences?", "How do we prepare ourselves?".

---

Tags: [#webdev](https://daily.dev/tags/webdev), [#javascript](https://daily.dev/tags/javascript), [#react](https://daily.dev/tags/react), [#typescript](https://daily.dev/tags/typescript)

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