Google Chief Executive Officer Sundar Pichai has cautioned that no company, including Google itself, would be immune if the current surge in artificial intelligence investment collapses.
Speaking in an interview with the BBC, Pichai compared the present AI boom to the dot-com bubble of the late 1990s, noting that while the technology is transformative, the market shows signs of “irrational exuberance.”
“No company is going to be immune, including us,” Pichai said, warning that inflated valuations and excessive spending could destabilize the sector.
Alphabet, Google’s parent company, has seen its shares rise sharply this year on the back of AI developments.
However, Pichai acknowledged that AI systems remain prone to errors and that the massive energy demands of the technology are slowing progress toward Google’s climate goals.
Analysts have repeatedly raised concerns that AI valuations are overheated, with comparisons drawn to the dot-com era when unsustainable investment led to a market crash.
Pichai said that despite the risks, AI would ultimately prove as profound as the internet in reshaping industries.
