Opinion
Are AI Valuations Bonkers?
Vinod Khosla is founder of Khosla Ventures and has spent the last 40 years in the business of innovation. He was the co-founder of Sun Microsystems. Khosla Ventures is an investor in OpenAI.
To many investors, valuations in AI land are bonkers—yet others justify them. This isn’t your usual bubble mania. Most valuations are bonkers, yet some valuations, even some apparently high valuations are not bonkers.
The lower valuations will not be the ones that will be good investments! My message: don’t indiscriminately pay up, but extremely selectively do pay up as huge outliers will more than pay for the losses in the AI field!