AI spending boom now bigger than the dotcom bubble but cracks are beginning to show, leading bank warns

Corporate AI spending has now exceeded the late-1990s dotcom boom peak when measured relative to the U.S. economy, but the article flags a backlash over soaring costs. The key takeaway is that AI investment remains intense, yet rising expense concerns are creating a more cautious outlook for future spending and returns.

Analysis

Corporate AI spending has now exceeded the late-1990s dotcom boom peak when measured relative to the U.S. economy, but the article flags a backlash over soaring costs. The key takeaway is that AI investment remains intense, yet rising expense concerns are creating a more cautious outlook for future spending and returns.