By Mels Dees
Publication Date: 2025-12-04 10:12:00
IBM CEO Arvind Krishna does not see the current AI wave as a bubble. In The Verge’s Decoder podcast, he argues that generative AI and large language models represent a structural technological shift, especially in the business world.
According to Krishna, AI is not growing on speculation, but on actual value creation. While he believes the technology is sustainable, he also sees a notable financial threat: the enormous investments in AI data centers are developing at a pace that is difficult to sustain economically.
The core of Krishna’s reasoning is that AI now delivers direct productivity gains. Companies are deploying systems for automation, software development, analysis, and internal efficiency improvements. This, he argues, makes this phase fundamentally different from previous waves of hype. He sees no signs of a bubble, because the underlying demand is driven by concrete business applications rather than speculative expectations.
At the same…
