Investors Must Monitor Quality of Business Results and Risks of AI

The development of artificial intelligence has raised the question of whether the valuations of technology companies are justified or if the markets are repeating the mistakes of the internet bubble.

Istvan Al Hilal from Fidelity compared the current situation to the internet bubble era, noting that the main difference is that technology companies today generate high and rapidly growing profits.

However, this does not mean that there are no risks. Al Hilal also pointed out the growing need for financing large investments in infrastructure for AI, with companies increasingly issuing bonds.