WorldCom's Cautionary Tale: Lessons for Today's AI Boom
business#generative ai📝 Blog|Analyzed: Feb 22, 2026 21:47•
Published: Feb 22, 2026 21:34
•1 min read
•SlashdotAnalysis
This article draws a parallel between the speculative investment frenzy surrounding the early internet and the current enthusiasm for Generative AI. It highlights how unchecked optimism and overbuilding, fueled by potentially unrealistic projections, can lead to financial instability and workforce reductions. It's a fascinating perspective on the cyclical nature of tech booms and busts.
Key Takeaways
- •The article compares the current Generative AI landscape to the dot-com bubble, highlighting potential risks of overinvestment based on unverified projections.
- •It points out how aggressive infrastructure expansion driven by optimistic forecasts can lead to problems.
- •The example of WorldCom shows how speculative investments can result in company failures and job losses.
Reference / Citation
View Original""For some period of time I can recall that we were backfilling that expectation with laying cables, something like 2,200 miles of cable an hour," AT&T CEO Michael Armstrong said."