Today's massive AI company valuations are based on market sentiment ("vibes") and debt-fueled speculation, not fundamentals, just like the 1999 internet bubble. The market will likely crash when confidence breaks, long before AI's full potential is realized, wiping out many companies but creating immense wealth for those holding the survivors.

During tech gold rushes like AI, the most skilled engineers ("level 100 players") are drawn to lucrative but less impactful ventures. This creates a significant opportunity cost, as their talents are diverted from society's most pressing challenges, like semiconductor fabrication.

AI tools drastically reduce the time and expertise needed to enter new domains. This allows startups to pivot their entire company quickly to capitalize on shifting investor sentiment and market narratives, making them more agile in a hype-driven environment where narrative alignment attracts capital.

The biggest growth driver is mastering platforms where attention is currently underpriced. Businesses often fail by romanticizing past tactics or obsessing over future trends like the metaverse, completely missing the massive, free opportunity available in the present.

The value of a large, pre-existing audience is decreasing. Powerful platform algorithms are becoming so effective at identifying and distributing high-quality content that a new creator with great material can get significant reach without an established following. This levels the playing field and reduces the incumbent advantage.

The internet democratizes consumption but consolidates production, meaning everyone remembers Apple but not Samsung's founder, Usain Bolt but not the silver medalist. The gap between #1 and #2 is infinite fame versus obscurity. In content-driven markets, the only rational strategy is to aim for being "insanely great," not just "good."

Analysis shows that the themes venture capitalists and media hype in any given year are significantly delayed. Breakout companies like OpenAI were founded years before their sector became a dominant trend, suggesting that investing in the current "hot" theme is a strategy for being late.

The algorithmic shift on platforms like Instagram, YouTube, and Facebook towards short-form video has leveled the playing field. New creators can gain massive reach with a single viral video, an opportunity not seen in over a decade, akin to the early days of Facebook.

The 20th-century broadcast economy monetized aspiration and sex appeal to sell products. Today's algorithm-driven digital economy has discovered that rage is a far more potent and profitable tool for capturing attention and maximizing engagement.