Scholar Warns AI Bubble Burst Could Be Worse Due to Heavy Debt Reliance

NYU Professor Aswath Damodaran warns that an AI bubble burst could be more severe than the dot-com crash. Unlike the earlier era, the current AI boom is built on massive capital expenditures and heavy debt, amplifying the potential risks.

2026-07-26 ~ 2026-07-26 · 2 related posts

• AI Bubble Risk Could Be Worse Than the Dot-Com Bust Because So Much More of It Is Debt-Funded — rohanpaul_ai · 2026-07-26
• Damodaran says the AI boom may still bust, but the capex cycle is unlike dot-com — rohanpaul_ai · 2026-07-26