You’re Wrong About Big Tech’s AI Spending: It’s Not a Bet on the Future, It’s a Fear-Driven Arms Race
Aswath Damodaran reveals that Big Tech’s AI spending is a fear-driven arms race, not a calculated bet. Companies invest because they’re terrified of being left behind, with no clear ROI. This prisoner’s dilemma mirrors past bubbles like railroads and fiber optics, leaving investors, workers, and users at risk of a painful correction.