Now Everyone Says We’re In An AI Bubble🙄

What that really means and why it’s not all bad + new jobs!

Aug 27, 2025

One day it’s, “AI is going to take your job.” The next it’s, “We’re in an AI bubble.”

Both can be true. Whenever something new shows up, people rush in. Founders, companies, and investors don’t want to miss out so they build, adopt, and throw money at it before they understand its real value. That’s how bubbles form.

Bubbles aren’t just hype, though. They create quick wins for people who move fast and push new skills, tools, and products into the world during its moment. Even if most of it doesn’t last, what sticks around is usually what acts as our foundation and drives long-term change.

Take the infamous dot-com bubble for example. Having a .com domain signaled you were part of the internet revolution. Companies with a .com were heavily funded even when their business models made no sense, which inflated their valuations. Most ended up eventually failing, but the foundation, skills, and jobs left behind built today’s tech industry.

We’re seeing the same thing now with AI. New products and solutions pop up daily across industries—some built with real purpose, and others just capitalizing on the hype before it fades. You can’t blame builders for taking advantage of the frenzy because it’s on adopters to know where, why, and how AI will actually create measurable value for them. Instead of leading with strategy, adopters are betting on the ‘AI’ label to pay off.

However, the returns aren’t living up to expectations. MIT’s Media Lab found that 95% of companies investing in AI see no ROI, even after pouring millions or billions into it. Even adopting tools that work well don’t translate to increased profits. If profit is the goal, companies need to go back to the drawing board before sinking more money into an already costly technology. Like the dot-com bubble though, there’s still that 5% that could lay the foundation for progress in AI and beyond.

So, are we in an AI bubble? Yes, it looks that way. That doesn’t erase the skills being built or the impact AI can have when it’s used to solve real problems with intention and sector knowledge.

Like the dot-com era, AI isn’t going anywhere. It will only evolve.