The Truth Behind the AI Bubble That Fooled the World

In November 2022, a chatbot hit 1 million users in five days and the world decided it was “intelligent.” From that moment, the AI gold rush was on. Valuations exploded, Nvidia became the new king of Wall Street, cloud credits quietly inflated startup revenue, and every product suddenly became “AI-powered.” But behind the hype cycle, headlines, and trillion-dollar charts, something far more fragile was taking shape: a belief system. This video dives deep into how the AI bubble didn’t just move markets – it rewired our expectations of what machines are and what they’re actually doing.

Using the rise of ChatGPT as the starting point, we follow the entire chain: from Turing and Descartes to Eliza and the “Eliza effect,” from AGI prophecy and media hype to Nvidia’s vertical takeoff, cloud credit illusions, and the mounting power and labor costs hidden under the hood. We explore the “Habsburg AI” problem as models train on their own synthetic output, the quiet collapse of hundreds of AI startups, and the impact of the EU AI Act as regulation slams into runaway optimism. Along the way, we look at the human side of the boom: burned-out engineers, underpaid data labelers, and the psychological toll of propping up an illusion of “intelligence on demand.”

If the AI bubble fooled the entire world, what exactly did we fall for – and what comes next when the magic wears off? This video is a long-form investigation into hype, history, philosophy, and hard numbers. Watch to understand how we got here, what most people are still missing about AI, and why the real danger isn’t a rogue superintelligence, but our own willingness to believe the story we most want to be true. How powerful systems rise, inflate, crash, and leave consequences behind.

0:00 – The AI Boom Begins: ChatGPT’s Record-Breaking Rise
ChatGPT hits 1M users in 5 days, igniting the largest tech stampede since the dot-com era.

1:48 – The Illusion of Intelligence: Why Humans Trust Machines Too Easily
From Turing to ELIZA, how psychology—not code—tricked the world into believing machines think.

7:34 – AGI Hype Takes Over: Media, Fear, and the Birth of a Modern Tech Religion
How headlines, CEOs, and investors fueled the prophecy of artificial general intelligence.

10:02 – NVIDIA’s Meteoric Rise: The Company Powering the AI Gold Rush
How GPUs became the pickaxes of the AI revolution—and created trillion-dollar expectations.

13:00 – The Hidden Truth: Cloud Credits, Fake Growth & Startup Smoke-and-Mirrors
How free cloud compute inflated valuations and created a circular, unsustainable AI economy.

16:02 – The Human & Environmental Cost: Power Grids, Data Labelers & the Invisible Workforce
The energy crisis behind AI—and the global labor force paid $2/hour to clean its data.

18:45 – The Collapse Begins: Synthetic Data, Model Decay & AI Startups Vanish
The “Habsburg AI” problem triggers massive regression, shutdowns, layoffs, and market panic. .
AI Boom Is OVER - The Next Economic Crisis Will Destroy US Economy .

This channel explores the world of artificial intelligence, global economics, and the shifting power structures shaping our future. Each video dives into the evolution of AI, the impact of automation, and the technologies transforming society, education, business, creativity, and healthcare.

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