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Is the AI Boom Peaking or Plateauing?

Financial Times Aug 2025

After much hype, GPT-5 delivered modest improvements — prompting reflection on whether the AI boom could be slowing.

GPT-5’s launch, though expected to be groundbreaking, yielded incremental gains — leading critics to question continued exponential AI growth.

Diminishing Returns in Scaling

Experts argue that generative AI is hitting limits due to deeper constraints in computing power, data saturation, and model architecture scalability.

Bubble or Pause?

Some analysts warn of an emerging bubble, reminiscent of past tech cycles, as industry enthusiasm outpaces tangible innovation.

Recalibrating Expectations

The industry may need to shift focus from chasing AGI fantasies to building reliable infrastructure and domain-centric AI applications.

#AI Winter#Generative AI#Skepticism