AI Bubble? Parallels with the Dot-com Bubble: What Should We Prepare For? 🤔

Hello! Today, I've brought you some truly fascinating IT market news. With the recent surge in Artificial Intelligence (AI) technology, many companies are increasing their investments in AI and related infrastructure. In times like these, it's crucial to reflect on past experiences, isn't it?

Recently, Yahoo Finance released an interesting analysis on September 30, 2025, claiming that the current state of the AI market bears a striking resemblance to the past 'dot-com bubble'. Cory Johnson, Chief Market Strategist at Epistrophy Capital Research, discussed this topic in depth during a conversation with Josh Lipton, host of Market Domination.

What are the Parallels with the Dot-com Bubble?

Cory Johnson pointed out that while the tech-heavy Nasdaq index is preparing to continue its recovery from Friday's gains, tech stocks are on the 'hot seat' due to growing concerns about a bubble forming in the AI market. This atmosphere is eerily similar to the dot-com bubble in the early 2000s.

He discussed "what aspects of the AI boom have similarities to the dot-com bubble." Although specific statements or figures were not disclosed, the message conveyed seems to be a warning to investors to be cautious of an overheated market driven by expectations of AI technology's potential.

Expert's View: 'Rash Optimism is Not Advised' 🙅‍♀️

Cory Johnson, also the host of 'The Drill Down' podcast, provided insights into how the current AI boom differs from the dot-com era and what investors should pay attention to.

He emphasized that "there are clear similarities between the current AI boom and the dot-com bubble, and we must be cautious about the possibility of market overheating." This can be interpreted as meaning that the market should not be judged solely on optimistic views of technological advancements.

What Should We Focus On?

So, how should we approach this situation? Experts acknowledge the inherent innovation of AI technology itself but are also wary of potential market overheating. During the dot-com bubble, many innovative technologies emerged, but excessive expectations and speculation led to market instability.

AI is no different. While AI technology holds the potential to bring immense changes to our lives and industries, it is important to cautiously evaluate the long-term development trajectory and practical applicability of the technology, rather than getting swept up in short-term market movements or excessive optimism.

What are your thoughts as you observe this AI boom? Do you think there are similarities to the past dot-com bubble? Please feel free to share your opinions in the comments! 👇

Preparing for the Future 🚀

In conclusion, the advancement of AI technology is an unstoppable trend. However, we need to be aware of the potential market volatility that may arise in this process and adopt a cautious approach. It seems important to reference expert analyses and wisely prepare for the future that AI technology will shape.

I will return with more exciting IT insights next time. Thank you! 😊