Nokia CEO Sees AI Growth Mirroring 1990s Internet Boom, Dismisses Bubble Concerns

Nokia CEO Pekka Lundmark compares the current surge in artificial intelligence (AI) to the internet boom of the 1990s, while downplaying fears of a potential bubble. Speaking at a recent industry event, Lundmark emphasizes that AI is driving a long-term growth trend, similar to the transformative impact the internet had on the global economy.

AI's Long-Term Growth Trend

Lundmark asserts that the rapid advancements in AI are not just a fleeting trend but a fundamental shift in technology. 'Artificial intelligence is more than just a buzzword; it's a powerful force that will reshape industries and create new opportunities,' he says. This perspective aligns with the broader tech community, which sees AI as a key driver for future innovation and economic growth.

Industry Context and Implications

The comparison to the 1990s internet boom highlights the potential for AI to revolutionize various sectors, from healthcare and finance to manufacturing and education. During the 1990s, the internet transformed how businesses operate and consumers interact, leading to the creation of new markets and the rise of tech giants like Google and Amazon.

Similarly, AI is expected to drive significant changes, with companies investing heavily in AI research and development. The technology is already being integrated into a wide range of applications, from autonomous vehicles to personalized medicine.

Addressing Bubble Concerns

Despite the enthusiasm, some analysts and investors have raised concerns about a potential AI bubble, citing the rapid increase in valuations of AI-focused startups and the speculative nature of some investments. Lundmark, however, remains optimistic and dismisses these concerns. 'The fundamentals of AI are strong, and the technology is delivering real value. It's not just about hype; it's about tangible benefits and long-term growth,' he explains.

Industry experts support this view, pointing to the substantial progress in AI capabilities and the increasing adoption of AI solutions by enterprises. The market for AI is projected to grow significantly over the next decade, driven by advancements in machine learning, natural language processing, and other AI technologies.

References

• Nokia CEO compares AI surge to 1990s internet boom, but plays down bubble fears | Reuters