Bloomberg Surveillance · Thursday, July 2, 2026
Analysts are questioning whether the rapid build-out of AI infrastructure has led to overcapacity, drawing parallels to the past fiber industry boom. The increasing cost of AI compute is prompting startups to carefully consider their spending and ROI, moving away from the earlier, more experimental phase.
“And it's hard to tell, but this feels like that some of this kind of circular narratives starting to break apart.”
“I think everyone right now when I go to conferences we talk to people, no one wants to hear about AI. Generically they want to hear what's your use case, what have you done with it? What have you been successful with it? They want case studies.”
“And that's a very different conversation than this time last year where everything was kind of free right, you could play around with it, it was very cheap. I think this is kind of where the rubber hits the road and meets the road and are we getting enough?”