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Analyst Warns AI Is Biggest Bubble Ever
27 Oct 2025- UK analyst Julien Garran warns today's AI boom is the largest, riskiest bubble—vast unprofitable valuations, funding fragility, potential economic drag; he doubts LLM-driven commercial success.
27 Oct 2025
A UK analyst, Julien Garran, calls today’s AI boom “the biggest and most dangerous bubble the world has ever seen,” estimating it’s 17× larger than the 1990s dot‑com bubble and roughly 4× larger than the 2008 housing crisis. The Neuron’s newsletter summarizes his case: ten AI companies with no profits have collectively gained nearly $1 trillion in market value over the past year, most firms outside NVIDIA are losing money, and the space relies on continuous funding rather than clear, profitable “killer apps.” Garran even argues LLMs (like ChatGPT) won’t underpin commercially successful apps and suggests many roles AI will displace are low‑oversight “bullsh*t jobs.”
He warns VC funding could dry up as valuations stay elevated, leaving a few large backers (SoftBank, governments, NVIDIA) to sustain the market. Garran outlines two broad futures if he’s wrong: prolonged capital waste that drags on GDP, or an extreme outcome where “superintelligence” reshapes society for better or worse — but he bets on the slower, damaging bubble scenario. The writeup links to Garran’s interview and a Neuron deep dive for more context.
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A UK analyst, Julien Garran, calls today’s AI boom “the biggest and most dangerous bubble the world has ever seen,” estimating it’s 17× larger than the 1990s dot‑com bubble and roughly 4× larger than the 2008 housing crisis. The Neuron’s newsletter summarizes his case: ten AI companies with no profits have collectively gained nearly $1 trillion in market value over the past year, most firms outside NVIDIA are losing money, and the space relies on continuous funding rather than clear, profitable “killer apps.” Garran even argues LLMs (like ChatGPT) won’t underpin commercially successful apps and suggests many roles AI will displace are low‑oversight “bullsh*t jobs.”
He warns VC funding could dry up as valuations stay elevated, leaving a few large backers (SoftBank, governments, NVIDIA) to sustain the market. Garran outlines two broad futures if he’s wrong: prolonged capital waste that drags on GDP, or an extreme outcome where “superintelligence” reshapes society for better or worse — but he bets on the slower, damaging bubble scenario. The writeup links to Garran’s interview and a Neuron deep dive for more context.
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