Jamie Dimon says AI isn't a bubble — but some projects may not work out

Jamie Dimon isn't worried about AI being a bubble, but reckons some of the industry's myriad projects won't work out.

"I wouldn't say I'm concerned," the JPMorgan Chase CEO said at the Fortune Most Powerful Women Summit on Tuesday.

"You can't look at AI as a bubble. Though some of these things may be in a bubble, in total, it'll probably pay off."

Fortune's editor in chief, Alyson Shontell, asked Dimon about statistics like AI investments accounting for 40% of GDP growth and such companies making up 80% of US stock gains this year.

Shontell, who was previously Business Insider's editor in chief, also flagged circular AI deals, such as OpenAI taking a stake in AMD and acquiring lots of its chips.

Dimon said he doesn't see this as evidence of the sector's boom being a bubble.

"Remember that capex is roads and cement and steel and servers and connectors — it's a million different things going on," he said.

Tech companies are spending hundreds of billions of dollars building data centers to power AI.

However, Dimon predicted that not all of these will pan out as planned.

"Some of those projects won't get done the way they were announced. Some of them won't get the power they need," he said.

"You've got to go one by one to say: is it pushing a bubble, or is it real? Are they really going to develop stuff that'll have productive capability that pays off on the investment?"

"Like I said, in total I think they probably will — but one by one, I don't know."

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