Bezos: AI is a "good bubble," and even if stock prices plummet like Amazon's in 2000, it is good for society

Amazon founder Jeff Bezos believes that the current investment frenzy in the field of artificial intelligence (AI) is a "good bubble." He argues that even if this bubble eventually bursts like the internet bubble of 2000, leading to a sharp decline in stock prices, the long-term benefits it brings to society will be significant. At the same event, Goldman Sachs CEO David Solomon expressed a more cautious viewpoint from Wall Street's perspective, warning that the substantial capital invested in the AI sector may not yield returns. Bezos: AI is an "industrial bubble," and society will benefit from inventions Bezos's core argument is that the current AI craze should be viewed as an "industrial bubble," rather than a purely "financial bubble." He explained that a financial bubble, like the banking crisis of 2008, brings "only harm" to society, but an industrial bubble, even if it bursts, can leave behind valuable legacies. Drawing on historical examples, Bezos cited two instances: first, the massive investment in fiber optic cables during the internet bubble, which remained after the bubble burst and laid the groundwork for later internet development; second, during the biotechnology boom of the 1990s, many companies failed, but ultimately numerous "life-saving drugs" emerged. When discussing the similarities between the internet bubble and the current AI craze, Bezos recalled that at that time, Amazon's stock price plummeted from $113 to $6 in "a very short time," causing anxiety among employees and concern among investors. Despite the turmoil, he believes that Amazon's stock price had become "disconnected" from the company's actual business performance, which remained strong during that period. Regarding the current AI investment frenzy, Bezos admitted that in the current enthusiasm, it is difficult for investors to distinguish between "good ideas and bad ideas," leading to almost all projects receiving funding. However, he emphasized, "This does not mean that what is happening is not real. AI is real, and it will change every industry." He also added: "We don't know how long it will take to realize this, but it is indeed real." Goldman Sachs CEO: Substantial capital invested in AI may not yield returns At the same event, Goldman Sachs CEO David Solomon issued a more cautious note. Solomon also acknowledged the tremendous potential of AI to enhance productivity, calling it "very exciting," and predicted that "business operations worldwide will be transformed by AI." However, as the head of a top investment bank, he simultaneously warned that the substantial capital currently invested in the AI sector may ultimately "not achieve returns." Nevertheless, Solomon did not explicitly define the current market conditions as a "bubble." He told the audience that he is "not smart enough to know" whether a bubble has formed, drawing a parallel to the market conditions of 1998: at that time, people were also asking the same questions, but the market continued to rise for three more years. Solomon added: "We are at the beginning of the movie, not the end..." "If we see a market correction in the next 12 to 24 months, I wouldn't be surprised, but given the trends we've already experienced, such a situation wouldn't be surprising either."