AI: hype or revolution?

This is an article I shared in the Savvy community back in September 2025. I used to share write-ups there along with my real-time portfolio actions, but I've moved all of them here now (way better!).

I will keep sharing real-time portfolio moves on both Savvy and Discord which is included in the paid subscriber tiers. I'll also cover what my view on AI means for my portfolio positioning.

This write-up is also somewhat related to an earlier post about why I believe AI is not just about return on equity. You might find that interesting as well.

With that being said: is AI a bubble or a revolution? Let's break it down.

The narrative of AI being a hype comes and goes in waves, often depending on market mood. Right now, with indexes at all-time highs but many AI names sold off 30% or more from their highs, it feels like where somewhere in between with the market questioning where to go next. 2026 will be an important year for AI, especially in terms of scale and signs of return on investment, but what does it actually look like from withing the tech industry?

Hype or value

I’ve been working in tech for about 10 years and I’ve seen hypes come and go: blockchain, VR, quantum computing, low-code, you name it. Most hypes start the same: bold promises, lots of buzz, and a wave of early excitement.

The ones that last solve real problems, get better over time, and find a clear path to adoption. These types of technology don't just make the shiny headlines, they become useful and valuable. A great example is cloud computing, which has been the biggest technological shift I’ve seen since starting my career. It provides clear value, is widely applicable, and keeps evolving.

The ones that fade often stay stuck in “demo mode”: cool ideas with no real scalable business model, no user traction, or ecosystem to support them. Blockchain is the first that comes to mind. Yes, there are some specific use cases, but it really lacks scale and broad adoption. Remember the promise that we would all pay with cryptocoins? I rest my case.

Now let’s apply this framework to AI.

A real life example

I company I’m familiar with, started experimenting with AI two years ago. Today, there are 8 projects live and 30+ more in development.