Yet another domino appears to be falling as part of the Ruth Goldberg machine that will eventually pop the AI investment bubble.
Earlier this month, economic forecasters were sounding the alarm that overspending on AI was at a level far more severe than Black Tuesday, the day that jump-started the worst economic catastrophe in the history of the industrial economy. Now, investors seem to be coming to that same conclusion all on their own.
This week, Taiwanese semiconductor giant Taiwan Semiconductor Manufacturing (TSMC) posted its second-quarter earnings results, revealing a staggering revenue of over $40 billion — a record-breaking sum for the company.
While that should come as welcome news to investors, the results had the exact opposite effect, sending shares of TSMC stocks tumbling by four percent. That in turn led the tech-heavy Nasdaq 100 index to fall by 1.4 percent Thursday, compounding losses from Wednesday, Bloomberg reported.
