One in four CEOs say AI is a bubble but will continue investing

Editor's take: The more money companies spend on AI, the larger fears grow that this is a bubble ready to burst. But for most CEOs, it's more important to be seen spending big on the technology than taking a more cautious approach.

According to a KPMG survey of 100 CEOs (via Business Insider) conducted from late January to mid-February, one in four company bosses believe an AI bubble does exist. However, they also think spending on AI is a key priority – almost 80% of CEOs say they will allocate at least 5% of their capital budgets to AI this year.

Another finding is that six in 10 CEOs said they are prioritizing AI spending to build workers' skills. Moreover, around half said they're using funds to speed innovation and incorporate the technology into day-to-day operations.

Training workers to use AI rather than replacing them with the technology ...