AI bubble may be brief — but rebound could be stronger, says NTT DATA chief

The head of Japanese IT firm NTT DATA, Abhijit Dubey, warned that the current surge in artificial‑intelligence investment could resemble a “short‑lived bubble,” but predicted the technology will bounce back stronger once corporate adoption catches up. In an interview with the Reuters Global Markets Forum, Dubey argued that over the next 12 months the market may normalize — but once infrastructure and enterprise demand align, AI’s long‑term momentum is “absolutely” intact. He noted supply‑chain constraints remain tight, giving chipmakers and hyperscale firms greater pricing power as demand continues to outpace supply. The AI boom, he said, marks the biggest technology upheaval since the rise of the internet — triggering massive investment, but also shortages in memory chips, regulatory scrutiny, and broad questions about the future of labor. Dubey, who also serves as NTT DATA’s Chief AI Officer, acknowledged that AI is already reshaping labor markets and prompting his company to rethink hiring strategies. While translation is likely to produce “dislocation” over the next 5–25 years, he stressed that NTT DATA continues to recruit globally. At the same time, a recent global survey by PwC — cited during the same conference — noted generative‑AI adoption among workers remains “significantly lower” than many executives had forecast. Yet, those with AI‑related skills are seeing steep wage premiums. Overall, Dubey’s message: expect a soft patch — but don’t count AI out. The temporary dip might just be the calm before a much stronger surge. #AI #TechnologyNews #NTTDATA #AIinvestment #SlimScan #GrowthStocks #CANSLIM