Will AI Spending Pay Off? Or Are We in a Bubble?

Artificial intelligence spending is hitting epic levels as Big Tech companies shell out for massive data centers to power new chatbots and other AI services. But will the spending--expected to amount to trillions of dollars in the coming years--pay off for investors?

This week on our columnists roundtable, business and finance editor Alex Frangos, markets reporter Chelsey Dulaney and senior markets columnist James Mackintosh are joined by Heard on the Street tech columnist Dan Gallagher to discuss the promise of AI. They discuss the major investment deals announced by Nvidia, OpenAI, Oracle, Microsoft and Alphabet and dig into the use of debt to finance growth, including by companies like CoreWeave, which has emerged as a key player in the data-center buildout. 

Plus, they separate fact from fiction when it comes to comparisons between AI and the dot-com bubble.

And, finally, our panel answers a question from our previous about the tax implications of buying gold.

Further Reading

Spending on AI Is at Epic Levels. Will It Ever Pay Off?

Debt Is Fueling the Next Wave of the AI Boom

What the Dot-Com Bust Can Tell Us About Today’s AI Boom

CoreWeave, Meta Enter $14.2 Billion AI Cloud Infrastructure Deal

Nvidia to Invest Up to $100 Billion in OpenAI

Nvidia Has a Problem: Too Much Money

Oracle Is the New Nvidia, for Better or Worse

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