It's undeniable that artificial intelligence (AI) has become, and continues to be, one of the most influential fields across all sectors. One of the biggest challenges in this field is the sheer volume and rapid pace of developments resulting from the fierce global competition among giant digital companies. Experts believe that the massive investments made in recent years are excessive and represent an inflated reality, potentially leading to increased fears of a potential bursting of this giant bubble, known as the AI ​​bubble. This is because some of these investments are simply a matter of money being circulated among these giant companies without creating any real added value.

Several years ago, the focus was on employing the largest possible number of AI specialists as a means of dominating the field. This intense competition resulted in the hiring of tens and hundreds of thousands of AI and data science specialists, to the point that these jobs were considered among the best in the world.

However, the strange thing is that every time there's a breakthrough in AI, specialists are surprised by massive layoffs, sometimes affecting tens of thousands of AI teams. What's the reason for this?

The reason is that AI breakthroughs often disrupt the plans of giant corporations in this rapidly changing environment. This leads to significant changes in their AI strategies. One of the most powerful of these breakthroughs began with the launch of ChatGPT, a revolutionary shift in making AI products easily accessible to everyone. This led to a reshuffling of the deck, and layoffs reflected the restructuring of companies' operations and competitiveness in this field.

In the last two years, another revolution has occurred in the field of AI agents, which has led to the launch of new platforms that transform AI products from mere chatbots into intelligent agents capable of making decisions and performing many complex operations automatically using appropriate tools. This development has also led to the layoff of tens of thousands of AI employees, as companies now want to shift their focus from developing more effective models to building more capable centers to concentrate on deploying these models in profitable projects.

Amid these significant changes, concerns are growing about the potential bursting of the AI ​​bubble. These concerns are heightened by the dwindling number of breakthroughs and the field's eventual maturation, which would lead to more stable investments in this vital sector.

At Hiesab, as AI specialists, we continuously monitor the latest challenges and believe that the opportunities for AI applications remain vast and promising. Our focus is on building AI systems that combine efficiency and innovation.

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