By Nosheen Iqbal,Blake Montgomery,Eli Block,George McDonagh,Joel Cox,Homa Khaleeli,Sami Kent
Publication Date: 2025-12-08 03:00:00
For months there have been fears that artificial intelligence is a bubble and is about to burst.
As the Guardian’s US tech editor Blake Montgomery explains that the magnificent seven – Alphabet, Amazon, Apple, Meta, Microsoft, Nvidia and Tesla – account for a third of the value of the S&P 500, the index of the 500 largest stocks in the US market. Everyone is investing heavily in AI.
Never before has such a large part of the economy been dependent on technology. And despite the trillions of dollars invested, AI has yet to show how it can generate sustainable profits.
So what happens, ask Nosheen Iqbal, What if one day your faith falters, no more money comes in and the ground collapses?
