Why the AI Bubble May Not Burst in 2026

Tech companies have been investing heavily in the development of artificial intelligence (AI) models and technologies in recent years, in what's effectively become the latest arms race in the sector. Even though the payoff from those investments may not necessarily be clear, no company wants to be seen as falling behind its rivals. Thus, spending on all things AI has become intense as a way for companies to show investors they are focused on AI-related growth initiatives.But lately, many investors have also become concerned that perhaps this has created a bubble, and that there could be a big correction or even crash coming. Many top tech companies are making agreements with one another, creating a circular flow of cash. This suggests that as one big tech company experiences a slowdown in business, others will as well, and that could lead to a crash.That's the fear, anyway. However, according to one report, a slowdown in AI spending and investments may not necessarily be coming soon. And that could mean that some AI stocks may still have room to rise even higher this year. Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool