I feel the same until I’m reminded I’m paying Anthropic $100 every month for something that’s indispensable to me now and would probably pay a lot more. Very inelastic demand as long as competition is low at the frontier.

I think a lot of people suspect that, but no one is able to help themselves. Manias are a feature/bug of humanity.

It's an actual bubble specific to AI. This investment is just another example of the bubble. Pre-2008, all the investment would be coming from banks. Post-2008, all the investment came from VCs... but VCs got tapped out, so AI companies went to bigger private capital. They tapped out all the private capital. So now they're making the rounds, making deals with any corporations left with tens/hundreds of billions in cash, because they're the only possible investors left. When all of them are tapped out, and without a release of pressure from the hardware market, the only investor left will be the government. After that it's kaplooie.

You'll notice that all the really big deals have fallen through, because they're based on promises and meeting objectives that can't be met. So it's likely that there will be really big writeoffs but not a huge implosion like 2001/2008. The real losers will be the retail investors who put all their money in a handful of stocks at ridiculous valuations.

x oil shock (due to Ormuz).