In a context where artificial intelligence is presented as the driving force behind the next industrial revolution, science fiction author and technology critic Cory Doctorow issues a warning. He anticipates an imminent crash in the industry, fueled by often unrealistic promises. This situation could have repercussions not only on the global economy, but also on the jobs of millions of workers.
3 things you shouldn’t miss
- The artificial intelligence industry could be a financial bubble about to burst, according to Cory Doctorow.
- Massive investments are being made based on flawed assumptions about AI’s ability to replace human workers.
- Mass layoffs and financial losses due to basic models could have significant social consequences.
Massive investments and unrealistic promises
The artificial intelligence sector is experiencing a period of intense financial activity, but Cory Doctorow, a well-known technology critic, warns against the speculative nature of these investments. According to him, the stock market valuation of AI companies now represents a third of the US stock market capitalization, concentrated in a few tech giants. This situation is based on promises of profitability that, for the moment, have not materialized.
Companies are investing heavily in AI, hoping that these technologies will effectively replace human workers. However, Doctorow argues that 95% of companies fail in their AI experiments. Despite these failures, many start-ups and companies continue to attract investors with the idea of an imminent productivity revolution.
Record valuations and rising layoffs
OpenAI, the publisher of ChatGPT, reached a valuation of $500 billion in 2025, becoming the world’s most valuable private startup. Anthropic and Mistral AI are following this trend with record fundraising and valuations reaching €183 billion and €11.7 billion, respectively. These impressive figures hide a worrying reality: tech companies such as Microsoft and Amazon spent nearly $100 billion on AI infrastructure in 2024, and the forecasts for 2025 are even more ambitious.
These massive investments have been accompanied by waves of layoffs in the technology sector. More than 80,000 jobs were cut in the first half of 2025, with companies such as Microsoft replacing thousands of jobs with AI agents. In France, Onclusive justified the elimination of 217 jobs by citing “the contribution of artificial intelligence.”
Social consequences and future prospects
According to Doctorow, the collapse of this bubble could have significant social repercussions. When investment stops, many companies will be left with non-operational AI systems and laid-off employees, creating a productivity gap that will be difficult to fill. The basic models, requiring colossal investments, are currently generating considerable financial losses, consuming resources without producing the promised benefits.
Doctorow compares AI to a “slow poison” that has infiltrated our society. For him, the only solution is to “burst the AI bubble” by exposing the real limitations of large language models. Some companies, such as Duolingo, have already begun to question their dependence on AI after unsuccessful experiments.
Context and history of AI
Since the 1950s, artificial intelligence has evolved from simple concepts to concrete applications in various sectors. However, the current craze for AI has gained momentum with the development of advanced language models and increased data processing capabilities. OpenAI, founded in 2015, is one of the leading figures in this revolution, particularly with the launch of ChatGPT. Anthropic and Mistral AI, more recent entrants to the market, have quickly attracted attention thanks to their technological innovations and impressive fundraising efforts.
Despite these advances, the AI sector is often criticized for its excessive promises and its social and economic consequences. Cory Doctorow, as a technology critic, calls for careful consideration of the true potential and limitations of artificial intelligence in order to avoid the mistakes of the past and build a sustainable future.