The Freepress published an article “Open AI’s House of Cards“, on November 17, 2025. There’s a lot to unpack in this article, but the highlights are:
- AI companies account for 80 percent of the gains in U.S. stocks this year.
- ChatGPT is only three years old, and its burn rate (the amount of money it loses each quarter) may be the highest in history.
- ChatGPT is more of an upgrade on Google Search than a productivity-raising miracle. The bulk of ChatGPT use is by people seeking practical guidance, information, or technical help. By contrast, according to an MIT study, 95 percent of organizations are getting zero return on their AI investments – because employees are using it to generate what the Harvard Business Review has dubbed “workslop,” i.e., AI-generated verbiage.
The house-of-cards analogy is used to describe the complex financial deals with huge amounts of debt by some of the leading AI investors. What happens if the competition overtakes ChatGPT’s supremacy (which is starting to happen) and/or organizations stop producing workslop? The Globe & Mail echoed the Freepress on November 24 with a front-page article entitled “‘Irrational exuberance’; What you need to know about the AI bubble – and how it will pop.” It sounds like it’s not if but when.
However, we don’t see the AI boom slowing down anytime soon. Our focus is enterprise software like ERP, and we see that every ERP developer is embracing AI and trying to embed it in their systems to improve productivity and insights. We also know that entrepreneurs and developers are finding ways to utilize AI everywhere. Yes, there are going to be casualties, especially for people employed in occupations that require analysis of large amounts of data (that could quickly be done by AI). But we are still in the early days of AI, and hopefully it will bring as much benefit as the internet boom – without too many bubbles popping.