Overview
- DWS CEO Stefan Hoops said the AI rally is being led by retail investors and warned there is “no playbook” for how such gains would behave in a sustained downturn.
- At Web Summit, executives from DeepL and Picsart cautioned that valuations show bubble signs and cited startups raising at lofty prices on minimal sales, while Lyft’s CEO called it a financial bubble despite strong long‑term industrial demand.
- An Accel report projects AI data‑center capacity reaching 117 GW by 2030, implying roughly $4 trillion in capex over the next five years and about $3.1 trillion in revenue needed to pay it back.
- Investor Michael Burry disclosed put options against Nvidia and Palantir and accused major AI infrastructure providers of understating chip depreciation, highlighting growing hedging around the trade.
- Market concentration remains extreme with a handful of AI‑exposed giants driving returns, even as Fed Chair Jerome Powell noted a key difference from the 1990s in that today’s leaders actually generate earnings.