Sam Altman, CEO of OpenAI, speaks during the Federal Reserve Integrated Review of the Capital Framework for Large Banks Conference in Washington, D.C, U.S., on July 22, 2025.<\/p>\n
Al Drago | Bloomberg | Getty Images<\/p>\n
There’s a bubble forming<\/a> in the artificial intelligence industry, according to OpenAI CEO Sam Altman.<\/p>\n “Are we in a phase where investors as a whole are overexcited about AI? My opinion is yes. Is AI the most important thing to happen in a very long time? My opinion is also yes,” Altman said.<\/p>\n “I’m sure someone’s gonna write some sensational headline about that. I wish you wouldn’t, but that’s fine,” he added. (Apologies to Altman.)<\/p>\n Altman’s AI company is currently in talks to sell about $6 billion in stock that would value OpenAI at around $500 billion, CNBC confirmed Friday<\/a>.<\/p>\n In another conversation, Altman warned that the U.S. may be underestimating the progress that China is making in AI.<\/p>\n Given the above premises, should investors be more cautious about OpenAI? Altman was not posed this question, but one wonders whether his opinion would also be “yes.”<\/p>\n Outside pure-play AI companies, the money is, likewise, still flowing. Intel is receiving a $2 billion injection of cash from Japan’s SoftBank.<\/p>\n It’s a much-needed boost to the beleaguered U.S. chipmaker. Intel has fallen behind foreign rivals such as TSMC and Samsung in manufacturing semiconductors that serve as the brains for AI models.<\/p>\n But going by Altman’s views, the investment in Intel might not be a good bet by SoftBank CEO Masayoshi Son.<\/p>\n Not everyone agrees with Altman, of course.<\/p>\n Wedbush’s Dan Ives told CNBC<\/a> on Monday that there might be “some froth” in parts of the market, but “the actual impact over the medium and long term is actually being underestimated.”<\/p>\n And Ray Wang, research director for semiconductors, supply chain and emerging technology at Futurum Group, pointed out that the AI industry is not heterogeneous.<\/a> There are market leaders, and then there are companies that are still developing.<\/p>\n In the real world, bubbles delight because they reflect their surroundings in a play of light. But the bubble Altman described <\/strong>could be one doesn’t show the face of its observer.<\/p>\n \u2014 CNBC’s MacKenzie Sigalos and Dylan Butts contributed to this report<\/p>\n What you need to know today<\/p>\n Trump-Zelenskyy meeting paves the way for trilateral talks with Putin. <\/strong>At the White House meeting, the U.S. president also discussed security guarantees for Ukraine<\/a> \u2014 which would reportedly involve a purchase around $90 billion of American weapons by Kyiv.<\/p>\n Intel is getting a $2 billion investment from SoftBank. <\/strong>Both companies announced the development Monday, in which SoftBank<\/a> will pay $23 per share<\/a> for Intel’s common stock. Shares of Intel<\/a> jumped more than 5% in extended trading.<\/p>\n The artificial intelligence market is in a bubble, says Sam Altman. <\/strong>Separately, the OpenAI CEO said he’s “worried about China,” and that the U.S. may be underestimating the latter’s progress<\/a> in artificial intelligence.<\/p>\n U.S. stocks close mostly flat on Monday. <\/strong>The three major indexes made moves that were less than 0.1 percentage points<\/a> in either direction as investors await key U.S. retail earnings. Asia-Pacific markets were mixed<\/a> Tuesday. SoftBank shares fell as much as 5.7%.<\/p>\n [PRO] Opportunities in one area of the European market. <\/strong>Investors have been pivoting away from the U.S. as multiple European indexes outperform those on Wall Street. But one pocket of Europe still remains overlooked<\/a>, according to analysts.<\/p>\n