Doug Kass: The AI Funding Boom Has Peaked

Quoth the Raven · QTR’s Fringe Finance · August 28, 2026 at 07:43 · ⏱ 1 min read  | Read on Substack ↗
Summary
Doug Kass argues the AI funding boom has already peaked, pointing to OpenAI and Anthropic’s apparent rush to go public after a period of abundant private capital and minimal quarterly scrutiny. If the article is right, the next phase of AI funding shifts onto public-market investors at late-cycle valuations, a negative signal for AI-related equities and a potential overhang from new AI IPOs.
  • Kass believes the funding cycle for artificial intelligence may already have peaked.
  • OpenAI and Anthropic are moving toward public markets with apparent urgency, which Kass treats as a signal rather than a growth milestone.
  • AI companies recently enjoyed abundant private capital, rapidly rising valuations, enormous strategic investments, and relatively little quarterly financial scrutiny.
  • Quoth the Raven's own recent companion piece argued the AI crash could start as soon as this year.
Read time 1 min
Length 948 chars
Category finance
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