AI Gold Rush: Is the Market Overheating?

AI Gold Rush: Is the Market Overheating?

The AI industry, which has seen explosive growth and investment over recent years, is now entering a critical phase of maturation. Once dominated by a rush to build the necessary infrastructure for artificial intelligence (AI) technologies, the focus is increasingly shifting towards practical applications that deliver tangible business value. In this article, Jasper Masemann, investment partner, and Lutz Finger, venture partner at Cherry Ventures, discuss this shift and how to navigate the AI bubble.

The tech industry is no stranger to bubbles fueled by excessive hype, such as the late 1990s internet boom and the current AI hype. Companies like Nvidia have seen massive stock price increases due to high demand for AI chips. Yet, there’s a disconnect between the market valuation ...