Legendary Investor Ray Dalio Warns AI Is Entering a 'Classic Bubble' Phase as Debt Mounts

Billionaire Ray Dalio declared artificial intelligence a "classic bubble" nearing a bursting point at the Forbes Global CEO Conference in Singapore, citing mounting debt, rising interest rates, and forced asset liquidation as key triggers. Speaking on October 7, Dalio warned that the conditions now surrounding AI mirror historical precedents including the 1929 stock market crash and the 2000 dot-com bubble. "We're in the part of the cycle that is before that but approaching that," Dalio said, adding "I think we are close to that."