Could China Pop the AI Bubble in 2026?
By Fil Tortevski and Pedro Banales
Artificial intelligence has fuelled one of the strongest investment themes in recent market history, driving extraordinary gains in companies involved in AI infrastructure, semiconductor manufacturing and large language models. But every major investment trend eventually faces a serious test, and the AI bubble may now be approaching one of its most significant.
In this week's Talking Wealth Podcast, senior analyst Filip Tortevski and analyst Pedro Banales discuss the challenges that could be emerging from China. While investors have focused on the dominance of companies such as NVIDIA, Microsoft and Alphabet, China has quietly been advancing its capabilities in both semiconductor manufacturing and artificial intelligence.
The question is no longer whether AI will transform the global economy. It's whether the enormous valuations behind the AI bubble remain justified if China develops competitive semiconductor technology and lower-cost AI models capable of challenging today's market leaders.
