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European Central Bank warns AI bubble burst could trigger systemic fallout

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Euro Burstin': While US companies continue pouring massive sums of speculative capital into their AI data center expansion plans, European authorities are already thinking about the impending AI bubble burst. A correction is likely, according to Europe's main banking institution, and its impact will not spare anyone, anywhere in the world.

The European Central Bank recently published a new blog post by five economists and researchers, arguing that the current "AI boom" will likely leave room for a significant correction in financial markets. The AI bubble is not just engulfing Wall Street and the "Magnificent Seven" stocks, the bank said, as European citizens have significant exposure to US Big Tech companies even when they don't fully understand the correlation.

According to the ECB, current US stock market valuations are close to their historical...

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European Central Bank warns AI bubble burst could trigger systemic fallout

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Cherokee Nation joins list of tribes banning data centers on tribal lands due to water, energy, noise, and cultural resource protection concerns — and all new projects require ‘early consultation’