Hedge fund tycoon Dan Loeb is taking a long position this time; 700 billion is not a bubble, it's real gold and silver, with cash flow to support it. It's indeed different from the internet boom back then.

BlockBeats News, May 30 — Third Point founder and hedge fund titan Dan Loeb, managing $24 billion, is bullish on AI, stating that the current AI boom is fundamentally different from the internet bubble era. Loeb pointed out that major tech companies announced a combined investment of over $700 billion in AI infrastructure this year, exceeding $1 trillion next year. These companies are highly profitable, generating huge cash flows, and most of their spending can be supported by their own funds. "If you don't believe these capital expenditures will pay off, it's like thinking they're flushing money down the toilet. That's very different from the internet bubble — we shorted the bubble back then and made good profits during those years." Loeb emphasized that he does not see a valuation bubble at present.



Loeb points out that