Part 2/17:
Analysts point out that valuations in AI are reminiscent of classic bubbles. Companies with sputtering $50 million annual recurring revenue (ARR) are being valued at billions— with some unicorns trading at $10 billion or more despite modest fundamentals. The consensus among experts is clear: these valuations are unsustainable, signaling peak bubble conditions in the tech sector and particularly within AI. Headlines from mainstream media echo these concerns, warning that we're teetering on the edge of a financial correction fueled by overhyped valuations, circular deals, and speculative investments.