'Insane bubble and bigger than 1999': Zoho founder Sridhar Vembu has a scary warning about the future of AI

'Insane bubble and bigger than 1999': Zoho founder Sridhar Vembu has a scary warning about the future of AI

Zoho founder Sridhar Vembu warns the AI-driven tech rally has created a bubble larger than 1999, with Nvidia at 20x sales, Apple and Microsoft at 10-11x, and Micron at 19x price-to-sales ratios. For tech leaders, the signal is clear: AI infrastructure valuations are increasingly detached from fundamentals, raising the risk of a sharp correction that could reshape vendor stability, M&A activity, and capex planning.