However, when comparing the tech investment cycle of the 1990’s to recent years, Drabowicz says that “we are just at the beginning”. Indosuez points out despite "unprecedented" capex, profits and margins are at record levels with low debt at this point in time.
Indosuez Wealth Management suggests that investment in artificial intelligence in the US may still be in its “infancy” despite data from various sources estimating that Uncle Sam has spent a cumulative US$335.3 billion for the three years from 2023 to 2025.
Chief investment officer Alexandre Drabowicz says that it is “fair” to say that it is a “debate” on whether if there is indeed an AI bubble. “There are some concerns about the circularity of money, particularly between OpenAI, Oracle and the hyperscalers,” he says.
