GPT-5’s Disappointing Rollout Signals Bursting of AI Bubble

Michael Hiltzik’s column argues that GPT-5’s disappointing rollout signals the bursting of the AI bubble. Marketed by OpenAI’s Sam Altman as a revolutionary leap, the model proved less capable than its predecessors, riddled with errors and frustrating users. The flop exposed the industry’s reliance on hype, much like the dot-com era, with billions invested despite no profits. Critics such as Alex Hanna and Emily Bender stress that AI’s supposed “intelligence” is an illusion of coherence, not cognition, and anthropomorphizing machines fuels public delusion. Scaling up may not deliver AGI, raising doubts about massive infrastructure spending. Economists forecast meager productivity gains. Hiltzik concludes AI is more of a marketing term than a science, benefiting elites while burdening society.

Los Angeles Times, Michael Hiltzik – Say farewell to the AI bubble, and get ready for the crash – 20th August 2025