Why Howard Marks Is Terrified About the AI Bubble
Australian Financial Review
SKIPPED
Details
- Date Published
- 10 Dec 2025
- Priority Score
- 2
- Australian
- Yes
- Created
- 11 Dec 2025, 01:35 am
Description
The billionaire sees no shortage of irrational exuberance from investors chasing artificial intelligence, but he also has a more existential fear building.
Summary
Howard Marks, a notable Wall Street investor, expresses significant concern over the current exuberance in the AI sector, suggesting it may be a bubble. His travels through Asia and the Middle East highlighted global investor uncertainty regarding the sustainability and long-term impact of AI investments. Although the article touches on existential concerns, such as the impact of AI on employment and economics, it primarily focuses on the financial risks of an investment bubble rather than direct catastrophic AI risks. The article provides insights into the financial market's expectations and concerns, which can indirectly reflect on broader discussions about the societal and ethical implications of AI technologies.
Body
TechnologyChanticleerPrint articleDec 10, 2025 – 9.27amSaveLog in or Subscribe to save articleShareCopy linkCopiedEmailLinkedInTwitterFacebookCopy linkCopiedShare via...Gift this articleSubscribe to gift this articleGift 5 articles to anyone you choose each month when you subscribe.Subscribe nowAlready a subscriber? LoginOne of the world’s greatest bubble hunters reckons we’re all thinking about bubbles in the wrong way.Howard Marks, the billionaire Wall Street investor and a crusader for common sense in investing, has just spent a big chunk of the last month visiting clients in Asia and the Middle East, and inevitably one question dominated all others: is the artificial intelligence boom a bubble?Loading...James Thomson is senior Chanticleer columnist based in Melbourne. He was the Companies editor and editor of BRW Magazine. Connect with James on Twitter. Email James at j.thomson@afr.comSaveLog in or Subscribe to save articleShareCopy linkCopiedEmailLinkedInTwitterFacebookCopy linkCopiedShare via...Gift this articleSubscribe to gift this articleGift 5 articles to anyone you choose each month when you subscribe.Subscribe nowAlready a subscriber? LoginLicense articleFollow the topics, people and companies that matter to you.Find out moreRead MoreChanticleerOpinionAIWall StreetOpenAINvidiaElon MuskEmploymentFuture of WorkFetching latest articlesThe untold story of the most lethal Sydney to Hobart race in 26 yearsTony Davis24 new watches to ring out the year (from $170 to $218k)‘YIMBY is a misnomer. They haven’t got backyards’Why BP Australia’s head tells execs to have their kids by 35Patrick DurkinAI talent war spreads to banking with $250k+ rolesWant to be better at public speaking? NIDA’s CEO shares her tipsAn arty Dior bag and a retro chronograph to freshen up your lookEugenie Kelly‘Your guests should talk with their bodies, not their mouths’The $80k Honda Civic that those in the know go nuts forBillionaire Rinehart loses bid for helipad at pink-themed HQJesinta BurtonImmutable late accounts reveal $72m loss despite big revenue growthAirwallex shrugs off controversy with huge funding round