Technology revolution

Ark Invest CEO Cathie Wood, at Saudi Arabia’s FII, addressed concerns about an AI bubble. While not predicting a full bubble, she anticipates a potential “reality check” for AI valuations as interest rates shift. She believes algorithm-driven trading could trigger a market correction as rates rise. Wood argues AI’s long-term potential outweighs these short-term risks, seeing enterprise AI adoption as a gradual process requiring organizational restructuring. Her view contrasts with institutions like the IMF, which have warned of a potential AI bubble.