{
  "id": 14303548,
  "title": "The AI Bubble Is Starting to Look a Lot Like the Dot-Com Crash",
  "url": "https://urgent.news/2026/10/13/the-ai-bubble-is-starting-to-look-a-lot-like-the-dot-com-crash",
  "topic": "finance",
  "section": "Finance & Markets",
  "published": "2026-10-13T19:00:02.000Z",
  "source": {
    "name": "HackerNoon",
    "slug": "hackernoon",
    "url": "https://hackernoon.com/the-ai-bubble-is-starting-to-look-a-lot-like-the-dot-com-crash?source=rss"
  },
  "original_language": "en",
  "account": "Last week, eco-friendly footwear company Allbirds shocked investors by selling off its physical business to American Exchange Group for around $39 million and then announcing plans to pivot their focus to Artificial Intelligence (AI). The remaining public entity immediately raised $50 million in financing from an unidentified investor to invest in GPUs and rebrand as NewBird AI. In their press release, they declared their long-term goal to become a \"fully integrated GPU-as-a-Service and AI-native cloud solutions provider.\" Within a day, their shares surged 600%, peaking at $21–23 before settling around $3 prior to the news. This move has many observers recalling the infamous dot-com bubble, with some drawing parallels to the blockchain-era Long Island Iced Tea Corp.'s name change, which saw its stock skyrocket 500%, despite having no actual connection to the tech. As we witnessed during the dot-com bubble's peak, when the Nasdaq surged by 600% from 1995 to its March 2000 high, and price-to-earnings ratios reached an unsustainable 200, AI's current valuation seems equally inflated. Companies without revenue or profit were receiving billion-dollar valuations based on mere hype and buzz. The similarities extend to the pattern of investors experiencing FOMO (fear of missing out), resulting in a wave of latecomers who are left with worthless investments. While the internet eventually flourished, despite its missteps, AI's future is not yet clear. The same cautionary tale applies: while groundbreaking technologies can reshape the world, speculative bubbles can just as easily burst, leaving investors and the broader economy in ruins.",
  "summary": "Allbirds rebranded to NewBird AI and the stock jumped 600%. The dot-com crash and the NFT collapse ran the same script, and retail held the bag both times.",
  "key_points": [],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 1,
    "also_reported_by": []
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}