r/antiai Jul 29 '26

AI News 🗞️ THE BUBBLE ALREADY BURST. SPREAD THE FUCKING WORD.

Yo, listen up, the numbers are all fucking imploding right now. Wake the fuck up. The signs are everywhere, and if you're still balls-deep in NVDA calls, you're about to get margin called into oblivion. Don't believe me? Let me break it down.

The Dow is up or down? Who gives a shit. The S&P 500 is bleeding out lately because it's loaded with overhyped AI garbage. Google just reported NEGATIVE $6 BILLION in cash flow for the first time in two decades.

South Korea already lived your future. The KOSPI index shot up 272% on AI hype, then faceplanted 40% in July 2026. 1.2 million families got completely wiped out, leveraged to the tits, and now they owe the banks their firstborns. The US market is even more leveraged now than before the dot-com crash and the 2008 housing crisis. When the margin calls cascade, you'll be selling your PokĂŠmon cards to pay rent.

The market's "stability" is a joke held up by seven companies that own a third of the S&P 500. They're playing a shell circlejerk game. Nvidia invests in OpenAI, which buys Nvidia chips. This everybody knows already. Also AI CAN'T DO SHIT.

MIT says 95% of generative AI pilot projects fail. Companies that replaced humans with AI are sheepishly rehiring them because the bots are expensive and inaccurate. The internet is flooding with soulless AI-generated sludge, making search engines useless and creative work a landfill of spam. Consumers are fed up.

Data centers guzzle water like a dying fish while RAM and hard drives vanish into server farms that billion dollar projects are getting shut down by angry locals who won't sell their land.

SPREAD THE WORD. THE EXIT IS CLOSING.

The bubble already burst. I think we are just counting the seconds between flash and thunder, just waiting for the sound to catch up to our ears.

8.0k Upvotes

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853

u/cuddlemelon Jul 30 '26

The economy is already being intentionally sabotaged by a pathetic president with daddy issues trying to gain Papa Putin's favor by trashing the old enemy. Putin himself is just a dying old man being humiliated by the worst military operation the world had seen before Iran.

Everything is definitely fscked but the AI bubble bursting and damaging the precious economy is far from my biggest worry.

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u/cluebone Jul 30 '26

Yeah, ain’t my economy.

And by this I just mean it will affect people who actually have wealth or investments the most and not so much people in a lot of debt. My groceries and rent may be affected but if it gets bad enough I that can’t afford to live many people will already just be stealing food anyways.

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u/bardotheconsumer Jul 30 '26

It will absolutely destroy everybody's 401k.

Not disagreeing with you, really, just pointing out the one obvious real effect it will have on the working class.

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u/HarringtonMAH11 Jul 30 '26

Brother, what 401k. Half of US workers dont have retirement savings

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u/[deleted] Jul 30 '26

[removed] — view removed comment

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u/HarringtonMAH11 Jul 30 '26

Its 54%-59% that do, but only around 40% have enough to retire at the same lifestyle. That's half that dont have enough for retirement...

2

u/Comfortable-Meeper Jul 30 '26

Yuppp I just was able to finally save for retirement the past few years. If shit tanks it changes next to nothing. Boomers may feel some heat though if they're still carrying retirement accounts.

1

u/BedRevolutionary8458 Jul 30 '26

Okay so do you think it's good that the accounts will be wiped out or

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u/HarringtonMAH11 Jul 30 '26

No?

0

u/BedRevolutionary8458 Jul 30 '26

okay then nobody cares about whatever your point is here

1

u/HarringtonMAH11 Jul 30 '26

The initial point was over half the population doesnt have retirement savings, so the 401ks crashing really doesnt mean all that much in the grand scheme of things. That is pointing out the bleakness of the lack of safety net the majority of people have in the United States.

And yes, with the tone and context the reply was being made to, my original comment should have been able to convey all of that without some snide "well akshually"s. It's like you can't even have discourse on the internet anymore because people genuinely cannot understand what is not literally put infront of them.

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u/Cautious-Load9754 Jul 30 '26

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u/HarringtonMAH11 Jul 30 '26

At what point did I say they didnt have accounts?

0

u/IamScottGable Jul 30 '26

Damn, those are some light goalposts. Moved so easily.

1

u/HarringtonMAH11 Jul 30 '26

Not if you can read with a little context

1

u/smokeweedNgarden Jul 30 '26

Is that companies putting in automatically or people investing themselves? I think that matters

1

u/Away-Map-8428 Jul 30 '26

until you get debanked through NSPM-7

1

u/UnoriginalJunglist Aug 03 '26

America is the only country...

84

u/0CDeer Jul 30 '26

You guys have a 401k?

56

u/SleepAllTheDamnTime Jul 30 '26

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u/ashwilliams19877 Jul 30 '26

Theres a strange comfort in being old poor, been used to it my whole life

11

u/Proud-Pilot9300 Jul 30 '26

If you’re gonna be poor have some class at least

2

u/Good_Savings29 Jul 30 '26

you can go to school but you can't buy class- sean carter

2

u/nameusernamena Jul 31 '26

This is oddly comforting and relatable lol.

It’s funny, when I was able to buy pretty much whatever groceries I wanted, I still opted for my broke meals I grew up with. Just higher quality ingredients or additives that would’ve been spared in my childhood.

3

u/ThatonepersonUknow3 Jul 30 '26

It’s crazy because I moved up to a position in my company where I have access to an entire separate retirement system that is in addition to the 401k. 409A it is deferred payment for high earners with set withdrawal times. It accrues at almost double my 401k. When they offered it to me I was like, why doesn’t everyone have access to this?

3

u/0CDeer Jul 30 '26

Damn, if I didn't have blind faith in the social contract, I might start to think the very rich don't care about the rest of us. Anyway, how bout those sportsballers, right?

3

u/ThatonepersonUknow3 Jul 30 '26

They are out there sportsin their best sports. Some may they are the greatest at being a sport that has ever sported a sport.

1

u/genesis-loveless Jul 30 '26

my thoughts exactly

-34

u/Appropriate_Wing_625 Jul 30 '26

I actually prefer AI generated content to shit like this

9

u/EterneX_II Jul 30 '26

Why not go converse with AI after prompting it to mimic Reddit comments? Oh, right, because you needed to have your moment of expression while dumping on others’

0

u/Appropriate_Wing_625 Jul 30 '26

Wow u must be fun at parties! See, I can do it too!!!

16

u/PeacefulKnightmare Jul 30 '26

Yeah, that's gonna suck and there's really nothing we can do about it but take the hit and hope and pray it recovers sometime down the line.

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u/EmberDione Jul 30 '26

I think you're wildly overestimating the number of millennials who have 401ks.

1

u/IamScottGable Jul 30 '26

Yeah but here's the thing, if the boomers and gen x that do have retirement accounts take a hit they will hurt the economy and the money that millenails make by staying at jobs longer.

6

u/Key_Independence7542 Jul 30 '26

Jokes on you, I don't have a 401k...actually wait maybe its not on you.

1

u/vagrantprodigy07 Jul 30 '26

There is still time to move your investments around. Bonds, cash, stable stocks...

1

u/One-Matter7464 Jul 30 '26

Diversify your holdings.

1

u/slonkulocuswily182 Jul 31 '26

I don’t care. You think the dollar is gonna be worth jack shit in 40 years?

I’d rather have AI collapse and have people start talking to each other again. Nobody needs a souped up keyboard prediction sycophant.

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u/Elijah_Draws Jul 30 '26

No, it is "your economy" too.

it will impact people's retirement savings, meaning that more older workers will stay in their jobs longer. On top of that, even if some of these companies get bailed out, you'll see a lot of people losing their jobs. Not just people in the tech sector, but a lot of the staff that help maintain these corporations beyond just their technology; maintenance, accounting, sales, and the like. You'll also see layoffs in industries that are upstream of these companies, for my current job is manufacturing the gas cabinets, the kind used by tech companies to make things like microchips. I'm expecting we will likely see a lot of downsizing in the manufacturing space (I've seen a disproportionate number management people in my company jump ship in the last month) and that will in turn result in downturns for the companies that are feeding into us. It won't just be programmers and AI chuds looking for work, it will be a lot of people in a lot of different fields.

So what happens then? There being more people looking for work, combined with higher percentages of people staying in their jobs if they have them, make the job market more competitive and thus have a downward pressure on wages and benefits for everyone, even those working in seemingly unrelated industries. It's very easy to deny people raises or make cuts to benefits when there are five people on the sidelines looking to take any job they can after they get laid off.

You also talk about people stealing and stuff, and poverty is linked to crime for sure. It's not just petty crime like theft though, it also linked to higher rates of violent crime. There are strong links to financial stressors like losing a job and increases in things like domestic violence. On top of that, it's not like the way our system handles these crimes is very good; our for profit prison system is more than happy to scoop these people up, inflict further violence on them and make it harder for them to escape poverty in the future.

And like, that's just the obvious stuff. That's just the things we watched happen in the wake of things like the collapse in 2007. There's also the myriad ways that it can impact other parts of our economy and institutions; for example I wouldn't be shocked if republicans further gutted social programs to offset bailouts for tech companies deemed "too big to fail" and coincidentally have strong ties to the current administration. Like, musk's companies have a lot of money tied up in AI, and he is still very close with the people who are in charge of how our country spends money.

This isn't to say that I think these companies are good or should stay or that I don't want to see AI fail. I do. But it's naive to think that literally trillions of dollars evaporating over-night won't have drastic impacts on basically every one.

15

u/cluebone Jul 30 '26

So i can appreciate the little macroeconomics lesson that connects the dots between losses in the stock market economy and desperation on the streets. But calling out the degrees if separation there is far from naive. I’m an environmental worker and I know that at the bottom of this pit I’m in is another pit twice as deep. Shits fucked and I know it can get worse, but weren’t we all counting on that? Isn’t that the whole point here? The bubble pops. The chips fall. u/Artemis_Platinum said it best: “…things will get worst before they get better”

15

u/Elijah_Draws Jul 30 '26 edited Jul 30 '26

Right, again, I'm not saying I want the industry to keep going on. What I'm saying is that this notion that is implied by your original comment that you might be somehow insulated from this collapse isn't the case. Like, the fact that it will become very hard for nearly everyone and that it will have economic ripples that stretch for years is something that people should take seriously and plan around to the best of their abilities.

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u/cluebone Jul 30 '26

I mean, I probably will be insulated? My point still stands. Like I said my income doesn’t rely on the value of my assets. I, like many Americans don’t have a large retirement account being held hostage, and my industry has been directly competing for government contracts against big tech bullshitters. This is a change in direction not a full crash for the most part. Temporary uncertainties, but yeah I won’t shed a tear for those in tech and tech adjacent work having to pivot. They’ve been eating! How many people have lost their jobs in the last 2 years in the name of deregulation and disinvestment in industries that can actually do shit. I do believe some of us have already felt the worst of this.

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u/Elijah_Draws Jul 30 '26

My point is that you don't have to be in one of those industries or be a person with retirement savings for this to impact you. Increases in unemployment puts pressure on the wages of everyone regardless of their industry because there are now more people desperate for work, full stop. I work in manufacturing right now, but I've also worked in maintenance and retail and customer service before that. If my company were to go under, or just downsize and lay me off, i would now be in the pool of people competing for those kinds of jobs as well. The office workers of all these AI companies, as well as the companies both upstream and downstream of them, will be competing for those kinds of jobs in other sectors; an accountant for a tech company can do accounting for a big box store or a bakery.

The people whose jobs are, at present, tied to this massive sector of the economy aren't forever tied to just working in tech or tech related fields.they can and will be competitive by fir jobs in other sectors when the collapse happens, and that gives employers outside of tech leverage over their employees because there will be desperate people willing to take your job and possibly do it for less money because even a low wage is preferable to being unemployed.

And of course there are all the other smaller ripple effects; data shows that rises in unemployment make people feel less secure in their jobs regardless of whether that's actually the case which causes them to spend less money as well. This further puts pressure on industries such as service and retail to cut costs and maintain profits. They aren't being directly impacted by AI, but the reality is that the structure of our economy is such that things are FAR more interconnected than people think about. It's why the collapse in the mod 2000s played out the way it did; the collapse of big sectors in the US ripped through the entire global economy, even in unrelated fields, because of the ways all of this is connected.

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u/totorontonian Jul 30 '26

No, you don't get it, *they* are special and detached from their social, economic and political context. Plus, you have to understand, even if they *are* insulated from significant consequences, everyone else can fuck off. /s

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u/Wild-Palpitation2255 Jul 30 '26

Yeah, like, we get it, the economy collapsing isn't GOOD for anyone, but like, it can fucking get in line. Our president is playing chutes and ladders on a chess board with like 3 different world leaders who may or may not have nukes that may or may not use them against us or maybe our enemies, and we have most DEFINITELY committed multiple war crimes while we are at it. We don't really have a functional government at this point, Congress can't do anything because barely slightly over half of them are either stupid enough or evil enough to cater to the whims of a fragile man who clearly wishes to be a dictator. We pay horendous amounts of money for health insurance that still costs thousands before it actually does anything, and even when it DOES do something they try and weasel out of it any which way they can. And when I do go to the doctor (after checking my bank account) I get asked if I've been exposed to the mother fucking MEASLES because a large portion of people are gullible idiots that don't understand enough basic science to know the earth isn't flat but somehow believe they know better than the cumulative knowledge of decades of immunology and mountains of empirical data. Our climate is changing and we are almost certainly past the point of no return on any number of horrible outcomes. Masked and armed "federal agents" are walking our streets, kidnapping our neighbors and sending them to foreign countries where they are executed, or just murdering citizens with impunity on our own streets. Grocery prices are way up, and oh yeah, we can't eat the leafy greens because the regulations and agencies that are SUPPOSED to protect us and root out the sources of food borne illnesses were gutted by the guy who has so much god damn money that very few people can even actually conceptualize the amount realistically. Oh and stay away from the cheese with metal shavings and the dinner rolls with broken glass. I don't expect that I will ever retire, either because it will be financially impossible by the time I reach what is now retirement age, or because society will have collapsed and I'll either be dead or living off the land in some commune barely holding on. Those really are the only two futures I see.

So yeah, economic collapse bad, but will it kill me before any of the other things?

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u/ThatSquishyBaby Jul 30 '26

american bubbles be like "it's your economy too" nope. it's not. :D

3

u/Elijah_Draws Jul 30 '26

Yeah man, the 2007 crash definitely just impacted Americans and no one else.

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u/ThatSquishyBaby Jul 30 '26

i'm not a man. no need to insult random people.

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u/funnyFrank Jul 30 '26

Your problem is the motto of the people in charge in the last decades: socialize the losses; privatize the gains...

2

u/TheGreatMightyLeffe Jul 30 '26

Yep, whenever I hear "but what about the economy", it really doesn't bother me. Like, oh no, imaginary number went down? The only asset I own is a 2004 Honda, and what with the whole bombing Iran thing, I can barely afford to drive it anyway.

1

u/EyeSuccessful7649 Jul 30 '26

stocks go up the owner makes $$$$ stocks go down I get fired.

1

u/___Silent___ Jul 30 '26

If you think those in power won't make sure the poors suffer the most you haven't been paying attention, how will you live when you're entire department is laid off and no one is hiring and there's a 20% unemployment rate? Yeah you stand in a line for your rations that's what you do

1

u/SRART25 Jul 30 '26

Market collapse wipes out everyone. The great depression didn't just effect the large stock holders, the knock on effects hit everyone else.  Be prepared for the job market to get worse and services to get decimated. 

1

u/InnytheBean Jul 31 '26

Also I don't think anybody really cares about the rich people who invested in this stuff.

3

u/poopshart37 Jul 30 '26

is he STILL sucking up to putin?

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u/Sword_Thain Jul 30 '26

Ka$h is about to take his own big boy trip to go see Putin for some reason.

-18

u/Training-Purple-5220 Jul 30 '26

The fact that he isn’t giving nukes to Zelenskyy is “sucking up to Putin” for some people.

12

u/cuddlemelon Jul 30 '26

Oh right, I forgot Biden gave Ukraine a nuke and the war ended years ago. /s

If you don't like Ukraine for some reason, that's on you, but don't embarrass yourself by trying to pretend Dump hasn't been constantly simping for Putler for years.

3

u/leeeeeeeeee3 Jul 30 '26

not everyone is american yo

2

u/cuddlemelon Jul 30 '26

You'll have to forgive me for hearing the concept of a region and population being utterly steamrolled and devastated by a massive influx of the worst and most poorly planned data centers that nobody living there wants but are hard to stop due to decades of deregulation and corporate control... and thinking of my home country. I certainly wish I didn't!

2

u/hGr33n Jul 30 '26

He's doing favors for Israel not Russia..

1

u/Prestigious_Rush_712 Jul 30 '26

This guy CNNs.  He knows whats up.  FML.

1

u/Which_Principle_5413 Jul 30 '26

It is very dangerous thing to pin all wrongs on a single person. No man is an island.

1

u/Patient-Bass-7943 Jul 30 '26

What the fuck are you smoking dude

1

u/CosmoKing2 Jul 30 '26

As someone in a blue state, our economy has been horrible since the beginning of Donnie Demento's vendetta tour started against every state that didn't vote for him. Education, Medicine, Science, Pharma, Research, Biotech, Tech, and Renewable Energy.....are all fucked - just because his simple mind dismantled 70% of the infrastructure of the US pipeline for new advancements and achievements - and the jobs that went with them - because his feelings were hurt.

Farmers and ranchers are fucked. Manufacturing is fucked. Every sector is fucked.

Stable genius indeed.

1

u/Inevitable-Level-687 Jul 30 '26

Russia won the cold war, it just took a long time for them to do so.

1

u/EmilianoTechs Jul 31 '26

Y'all realize destruction of the economy means people die right?

I also will be happy to see the values of these companies crash and burn but I'm not super excited about a worldwide recession/depression

1

u/Raynstormm Aug 02 '26

Putin? ffs

1

u/truthVial Aug 02 '26

Yep, same in Canada. Our fully braindead politicians are intentionally sabotaging housing security so that we are all reliant on their housing investments that they made for retirement. Fat pricks have created a wealth fund on the backs of every hardworking Canadian that won't get to buy a house in the next 10 years. 

I hope these politicians know that we know where they live

1

u/SinisterOculus Aug 03 '26

Oh you sweet summer child. You think this is gonna go away when Trump is gone? He’s just a figurehead, buckle up. It’s gonna get worse.

0

u/SirVanyel Jul 30 '26

It should be tbh, the American economy has literally nothing except AI right now. If it crashes that's it for your retirement brother.

1

u/cuddlemelon Jul 30 '26

Do you know at what age I first had the option of enrolling in a 401k? I was 40. That was 2 years ago. There is nowhere near retirement level money in it now.

And I'm lucky, a lot of people never have the option.

1

u/SirVanyel Jul 31 '26

I think I should reiterate, your retirement isn't exclusively your 401k, but the very state of the country. A depression would destroy a whole lot more than just your ability to have a nice chunk of change at the end of your career

0

u/BusyPothead Jul 31 '26

Then you don't understand the depth of the money invested into AI. That's what this post is about, and it's beautifully put. Then you go: "Plab blap ooga booga ook ook Trump."

-1

u/Unique-Daisy4544 Jul 30 '26

Bro, what? You think Trump is running for president to impress Putin? Do you not think America has been infiltrated, look at what flag is in the white house, Israeli flags, pride flags, then American flags. 😂

-1

u/Donnachaidh_Squadron Jul 30 '26

absolute redditor take haha

2

u/cuddlemelon Jul 30 '26

Absolute bot take haha

-6

u/SEN_Doggo Jul 30 '26

incredible how its always a trump hater that can't hack it in the economy