Nvidia defies AI bubble fears but some analysts remain worried

Nvidia defies AI bubble fears but some analysts remain worried
Nvidia defies AI bubble fears but some analysts remain worried
Win McNamee/Getty Images

(NEW YORK) — Blockbuster earnings from chip giant Nvidia this week appeared to rebuke concerns about an artificial-intelligence bubble, briefly ending a days-long slump in the stock market.

“It’s fair to say that Nvidia’s results have completely changed the market mood and pushed out any bubble fears for another day,” said Jim Reid, a research strategist at Deutsche Bank, in a memo to clients early Thursday morning, just hours after the earnings.

But the market went on to offer little reassurance. Shares of Nvidia fell almost 3% in the first post-earnings trading session. The major stock indexes also dropped, underscoring the importance of the technology for Wall Street and the overall economy, which have both come to rely on massive AI spending to propel growth.

Nvidia recorded $57 billion in sales over three months ending in October, the company said on Wednesday, setting a quarterly sales record and demonstrating near-bottomless demand for the semiconductors at the heart of AI.

Still, critics say such appetite for the building blocks of AI has far outpaced the technology’s end uses and financial returns. AI hasn’t delivered much profit, they argue, despite up-front costs totaling hundreds of billions of dollars spent on data centers and chips.

Proponents strongly disagree, pointing to the rapid adoption of products like ChatGPT and counseling patience as other uses of the technology take hold. To hear them tell it, AI is set to augur a tech transformation like the internet or electricity, meaning the hype will ultimately bear out even if some firms falter along the way.

“There is no question that Nvidia will make a bunch of money,” Gary Marcus, a professor emeritus of psychology and neuroscience at New York University, who specializes in AI, told ABC News. “There are many questions about where the market is headed after this initial burst of enthusiasm.”

For his part, Nvidia CEO Jensen Huang rejected AI-related worries during an earnings call on Wednesday.

“There’s been a lot of talk about an A.I. bubble,” Huang said. “From our vantage point, we see something very different.”

The economy is undergoing a technological sea change that extends beyond generative AI, Huang said, noting the rise of advanced software such as cloud computing as well as AI-driven physical products — all of which increasingly run on Nvidia chips.

“Nvidia corporation is unlike any other accelerator,” Huang added.

AI spending is expected to total $375 billion this year, jumping to about $500 billion by the end of 2026, UBS Global Wealth Management found in August. For reference, the half-trillion to be spent on AI next year would be roughly equivalent to the gross domestic product of Singapore.

The AI boom has helped propel U.S. economic growth. Such spending added a 0.5 percentage point boost to annualized U.S. GDP growth over the first half of 2025, accounting for about one-third of economic activity, Pantheon Macroeconomics said.

But analysts fearful of an AI bubble warn of what they consider immense costs, saying energy needs and chip production have saddled the balance sheets of firms developing and operating AI models. Profits may not come for years, if at all, they warn. OpenAI said it expects to begin generating substantial profits in 2030.

Speaking to reporters earlier this year, OpenAI CEO Sam Altman acknowledged frenzied investor enthusiasm but signaled confidence about the long-term outlook for the industry.

“When bubbles happen, smart people get overexcited about a kernel of truth,” Altman said. “Are we in a phase where investors as a whole are overexcited about A.I.? My opinion is yes. Is A.I. the most important thing to happen in a very long time? My opinion is also yes.”

Tech giants like Amazon and Google retain the capacity to spend without taking on sizable debt, but smaller players require loans, risking credit defaults if the technology fails to deliver on the up-front costs, Marcus said. The potential unpaid loans could strain banks and put pressure on the wider financial system, he added.

“A big question is how much the banks have been propping this up: What will the blast radius be?” Marcus said.

Proponents of AI say such worries are overblown. They point to the popularity of products like AI chatbot ChatGPT, which boasts about 800 million weekly users. Millions of additional users avail themselves of xAI’s Grok, Google’s Gemini and Meta’s MetaAI.

Last year, Apple unveiled AI-fueled tools for its iPhones, Mac and iPad. Some firms are developing a new wave of AI-equipped robots to perform tasks in people’s homes and in workplaces like logistics and warehouses.

“This is the fastest adoption of any technology by consumers by far,” Lynn Wu, a professor of operations, decisions and information at the University of Pennsylvania, told ABC News. “This is a general purpose technology that will be adopted everywhere.”

The profitability of the technology will be made apparent over time as consumers and businesses identify its best uses, Wu added.

“When a general purpose technology — like electricity or the internet — is being adopted, firms and people don’t know how to use it,” Wu said. “We haven’t envisioned how to use this paradigm yet.”

Still, Wu cautioned, an AI bubble likely exists, though it isn’t dangerous. Wu compared the current state of the industry to the internet era before the dot-com bubble, when a host of firms went belly up but the technology reoriented the economy and established corporate giants.

“If you ask me flat out — yes or no — are we in a bubble? The answer is yes,” Wu said. “But the bubble isn’t necessarily a bad bubble.”

Copyright © 2025, ABC Audio. All rights reserved.

Cold and snowy weather could be coming for many, thanks to the polar vortex

Cold and snowy weather could be coming for many, thanks to the polar vortex
Cold and snowy weather could be coming for many, thanks to the polar vortex
John Normile/Getty Images

(NEW YORK) — A significant change in the atmosphere means the weeks after Thanksgiving could be colder and snowier than normal across portions of the United States.

It’s all thanks to a disruption in the polar vortex. Here’s what you need to know.

Why is this happening?

Our atmosphere consists of many layers of moving air; the troposphere is where our weather happens and above it is the stratosphere. Over both poles, a ring of strong mid-level winds called the polar vortex traps cold, sub-arctic air.

There are two of these polar vortexes — one in the troposphere that affects weather every winter, and one in the stratosphere that contains much colder air but only affects the surface weather during winter less frequently.

When polar vortex winds are strong, this frigid air remains near the poles. But when the polar vortex is weak and is disturbed, the frigid air can spill out from the North Pole, down south towards the surface.

Scientists are still trying to understand these disturbances and why they occur, but they can drive the most intense cold-air outbreaks and winter weather bursts in the U.S.

Sometimes, the polar vortex simply stretches out, bringing quick bursts of cold air and some wintry weather to the U.S. In more extreme cases, a phenomenon called “sudden stratospheric warming” — or SSWs — can trigger more significant disruptions to the polar vortex.

While it may seem counterintuitive, a sudden warming in the stratosphere above the poles often weakens these winds, disrupting the polar vortex and allowing cold air to spill out from the North Pole and down into places like the U.S., Europe and Asia.

These events can take weeks to unfold and can have cascading impacts. Some of these events can lead to strong cold outbreaks and snowier spells, while others have little impact near the surface.

According to Dr. Amy Butler, a meteorologist and lead of the Stratospheric Modeling & Analysis program at National Oceanic Atmospheric Administration, SSWs occur once every other winter, But “there are only one to two major events in late November in the record back to 1958.”

“We have this unprecedented disruption in the polar architecture where it’s so early in the season … There’s not many past analogs to draw from and say [with confidence] about how this is going to go,” said Dr. Judah Cohen, a climatologist at MIT and the director of seasonal forecasting for Atmospheric and Environmental Research (AER) at the JANUS Research Group.

Cohen added that an SSW is not a given yet and that we could simply see the polar vortex be stretched out past Thanksgiving, but it would still result in a noticeable change to colder and possibly more wintry weather for parts of the U.S.

La Niña will also play a role in this pattern shift, as will the forecasted weather conditions for the winter ahead.

“With North America, we have a weak La Nina and other patterns in the Pacific that have a direct influence on the weather as well,” said Dr. Jason Furtado, associate professor in the School of Meteorology at the University of Oklahoma. Furtado also added that these, consequently, lead to a higher chance of a colder December.

What does it mean for the forecast?

Long-range forecasts from NOAA’s Climate Prediction Center favor below-average temperatures for the majority of America from late November into December.

However, this outlook deals with average temperatures over the period, so they don’t account for short-term variations that occur over days or weeks — meaning there could be a cold snap for a few days then warmth for the rest of the period, with the average leveling out or warmer.

What does it mean for snow?

These disturbances to the polar vortex can plunge cold air south and often create more chances for snow. However, the relationship between these two is not as straightforward.

According to NOAA, this pattern change supports more winter-like conditions across the central U.S. and increase the potential for heavy snow. Specifically, the increased potential for heavy snowfalls along the Great Lakes, a region historically known for lake-effect snow.

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Sublime headlining 2026 Great South Bay Music Festival

Sublime headlining 2026 Great South Bay Music Festival
Sublime headlining 2026 Great South Bay Music Festival
Jakob Nowell of Sublime performs during the 2025 Shaky Knees Music Festival at Piedmont Park on September 19, 2025 in Atlanta, Georgia. (Scott Legato/WireImage)

Sublime is headlining the 2026 Great South Bay Music Festival, taking place July 23-26 in Patchogue, New York, on Long Island.

“We’re bringing Long Beach to Long Island!” Sublime says.

The full lineup has yet to be revealed, but you can grab tickets starting Monday at 10 a.m. ET. For more info, visit GreatSouthBayMusicFestival.com.

Sublime’s 2026 plans also include releasing their first album in 30 years, as well as a show in April at the Red Rocks Amphitheatre in Morrison, Colorado, featuring a performance of their 1996 self-titled album in full.

Sublime currently consists of original members Eric Wilson and Bud Gaugh alongside Jakob Nowell, son of late frontman Bradley Nowell. Their 2025 single “Ensenada” hit #1 on the Billboard Alternative Airplay chart.

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Ex-Megadeth bassist David Ellefson joins Metal Church lineup

Ex-Megadeth bassist David Ellefson joins Metal Church lineup
Ex-Megadeth bassist David Ellefson joins Metal Church lineup
“F.A.F.O” single artwork. (Rat Pak Records)

David Ellefson is the new bassist for the veteran metal band Metal Church.

The former Megadeth member makes his debut with Metal Church on a song called “F.A.F.O.”, which stands for you-know-what around and find out.

“After 45 years, the fact that we have new music coming in 2025 feels like a miracle,” says founding Metal Church guitarist Kurdt Vanderhoof, who is the lone original member still in the band. “There was a time when I honestly didn’t think Metal Church would continue, but we’re back—and this lineup is firing on all cylinders.”

Along with Ellefson and Vanderhoof, the revamped Metal Church lineup includes guitarist Rick Van Zandt, drummer Ken Mary and vocalist Brian Allen.

Ellefson parted ways with Megadeth in 2021. Since then, he’s been involved in bands including Dieth, The Lucid, Kings of Thrash and Ellefson-Soto.

Megadeth, meanwhile, is releasing their final album on Jan. 23. The Dave Mustaine-led group is also set to launch a multiple-year farewell tour.

(Video contains uncensored profanity.) 

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New John Lennon documentary to focus on his final interview

New John Lennon documentary to focus on his final interview
New John Lennon documentary to focus on his final interview
Former Beatle John Lennon outside of the Times Square recording studio ‘The Hit Factory’ before a recording session of his final album ‘Double Fanasy’ in August 1980 in New York City, New York. (Photo by Vinnie Zuffante/Getty Images)

Another John Lennon documentary is in the works, this time from Ocean’s Eleven director Steven Soderbergh.

According to Variety, Soderbergh talked about the film at the inaugural Doha Film Festival, explaining that the still-untitled project will focus on Lennon’s final interview, which he and wife Yoko Ono sat for just hours before he was shot and killed on Dec. 8, 1980.

“I’m excited about it,” Soderbergh said. “I’m not looking to re-invent the form. I’m just hoping to create a film that gets as many people as possible to hear what John and Yoko had to say on that afternoon before he was killed.”

The interview took place at John and Yoko’s New York apartment The Dakota and was tied to the release of their album Double Fantasy. Lennon was shot in front of his apartment later that evening as he was returning from a recording session at the Record Plant.

Soderbergh said he found the interview somewhat surprising.

“They were both so free in their discussions. As someone who has been interviewed many times I was surprised at how open and excited they were to talk,” he said. “You would think they had never been interviewed before.”

“So I want that to come across to the audience. Everything that they said 45 years ago is not just relevant today. It’s even more relevant in terms or relationships, politics, how we treat each other,” he continued. “How systems work on the individual and above all on the importance of love in our daily life and our world.”

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Putin, Zelenskyy respond to Trump’s peace plan

Putin, Zelenskyy respond to Trump’s peace plan
Putin, Zelenskyy respond to Trump’s peace plan
Ukrainian President Volodymyr Zelensky visits Athens, Greece, on November 16, 2025, for a meeting with Greek Prime Minister Kyriakos Mitsotakis and the signing of a cooperation agreement at the Maximos Mansion. (Photo by Nikolas Mhtrousias/NurPhoto via Getty Images)

(WASHINGTON) — As President Donald Trump pushes Ukraine and Russia to commit to a peace deal before Thanksgiving, both leaders suggested they would engage on it but signaled doubts it could succeed.

Ukraine’s President Volodymyr Zelenskyy warned his country may face a difficult choice between losing its “dignity” or the support of its most important ally –presumably the United States, though Zelenskyy didn’t mention by name — as the Trump administration pressured Kyiv to accept the plan that would impose harsh concessions on Ukraine and that many Ukrainians fear would be effectively a capitulation.

Russian President Vladimir Putin said the deal, which Russia has helped develop and contains many of its key demands, could serve as a “basis” for a solution to the conflict, but accused Kyiv of being unwilling to accept it.

Zelenskyy addressed the nation in a powerful speech, where he vowed not to betray the country and said the next week would “be very difficult.”

Trump’s 28-point peace plan demands provisions that the Kremlin has long demanded and that have been previously dismissed as non-starters for Kyiv, including that Ukraine cut its armed forces by more than half and cede swaths of territory not yet occupied by Russia, according to a draft proposal obtained by ABC News.

Officially, the 28-point peace plan notes that “Ukraine will receive reliable security guarantees,” which a senior U.S. administration official told ABC News included a NATO-style security guarantee. Under that provision, the U.S. and its allies could respond with military force if Russia attacks Ukraine in the future, according to the official.

The plan comes after Ukraine suffered heavy losses in the last few weeks and Russian forces captured more territory. Zelenskyy himself is currently under pressure because of the worst corruption scandal of the war that involves top officials, which has rocked his administration.

Zelenskyy said Ukraine is facing “one of the most difficult moments in our history” and that Ukraine in the coming days may have to choose between “dignity” and the “risk of losing a key partner.”

“Either complicated 28 points, or an extremely tough winter — the toughest — and further risks. A life without freedom, without dignity, without justice,” he said.

Zelenskyy compared the current situation to the first days of the war, when he refused to flee and Ukrainians held back Russia.

“They said: either this, or nothing. Either you sign this, or you will simply be eliminated. We did not betray Ukraine then; we will not do it now. And I know for certain that in this truly one of the hardest moments of our history, I am not alone,” he said.

Zelenskyy spoke with Vice President JD Vance about the plan on Friday.

“We managed to cover a lot of details of the American side’s proposals for ending the war, and we’re working to make the path forward dignified and truly effective for achieving a lasting peace,” a readout from the Ukrainian president read.

Putin, in a meeting with his national security council that was televised, said Russia was in possession of the 28-point plan and suggested Moscow was prepared to take it as a basis for “a final peace settlement” but had yet to discuss it in detail.

Putin said Russia had previously discussed a version of the plan with the Trump administration around his and Trump’s summit in Alaska this summer, calling the 28-point draft an “essentially modernised” one.

“We confirmed that, despite certain difficult issues and complications, we nevertheless agree with these proposals and are ready to show the flexibility that has been offered to us,” Putin said.

 But he claimed since the summit that the Trump administration had paused and claimed that was because Ukraine is unwilling to accept the plan.

 “I believe the reason is the same: the US administration has not yet managed to secure the agreement of the Ukrainian side, as Ukraine is opposed to it. Apparently, Ukraine and its European allies are still under the illusion that they can inflict a strategic defeat on Russia on the battlefield,” Putin said.

The Russian leader vowed that if Ukraine did not discuss the proposals, Russia would continue to attempt to seize more cities and achieve its goals via force.

 Zelenskyy on Friday warned Putin would attempt to use the peace talks to try to frame Ukraine as unwilling to accept peace, while making unjust demands.

“There will be a constructive search for solutions” with the U.S., he said. “I will present arguments, I will persuade, I will offer alternatives, but we will certainly not give the enemy any reason to say that Ukraine does not want peace, that it is Ukraine who disrupts the process and is not ready for diplomacy. That will not happen.”

Copyright © 2025, ABC Audio. All rights reserved.

Whitesnake releases final video following David Coverdale’s retirement

Whitesnake releases final video following David Coverdale’s retirement
Whitesnake releases final video following David Coverdale’s retirement
David Coverdale from Whitesnake performs outside the Vikingship arena on June 02, 2022 in Hamar, Norway. (Photo by Per Ole Hagen/Redferns)

Whitesnake has released what they say is their final music video.

Following frontman David Coverdale’s announcement that he was retiring from music, the band has dropped the video for “Forevermore (DC & Hook City Strings – Official Video 2025 Remix).

The clip has Coverdale singing on a stage bathed in white and backed by a string section. The clip also features various photos of Coverdale with his wife, Cindy Barker.

“Forevermore” is the title track to Whitesnake’s 2011 album, which was reissued in September.

The 74-year-old Coverdale announced on Nov. 13 that “after 50 years-plus of an incredible journey” he’d decided to call it quits.

“I love you dearly. I thank everyone who’s assisted and supported me on this incredible journey — all the musicians, the crew, the fans, the family,” he said. “It’s amazing, but it really is time for me to just enjoy my retirement.” He added, “And I hope you can appreciate that. Once again, I love you with all my heart. Fare thee well.”

Copyright © 2025, ABC Audio. All rights reserved.

Documentaries about Led Zeppelin, John & Yoko eligible for Oscar nominations

Documentaries about Led Zeppelin, John & Yoko eligible for Oscar nominations
Documentaries about Led Zeppelin, John & Yoko eligible for Oscar nominations
Poster for ‘Becoming Led Zeppelin’/(Sony Pictures Classic)

Films about Led Zeppelin and John Lennon and Yoko Ono have a chance to be in the running for a 2026 Oscar nomination in the documentary feature film category. 

Over 200 documentaries have been deemed eligible for consideration , including Becoming Led Zeppelin, which chronicles the early days of the Rock & Roll Hall of Fame band, and One to One: John and Yoko, which follows the 18 months John and Yoko lived in New York’s Greenwich Village in the early ’70s.

Other music docs eligible for a nod include: Billy Idol Should Be DeadPavements, Diane Warren: Relentless, Janis Ian: Breaking SilenceLilith Fair: Building a Mystery – The Untold Story and It’s Never Over, Jeff Buckley.

The eligible docs will be narrowed down to a shortlist that will be announced Dec. 16. Oscar nominees will then be revealed on Jan 22.

The 98th annual Academy Awards will air live on ABC on March 15 from the Dolby Theatre in Hollywood.

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Watch Pete Townshend perform ‘Let My Love Open the Door’ during ‘Late Show’ commercial break

Watch Pete Townshend perform ‘Let My Love Open the Door’ during ‘Late Show’ commercial break
Watch Pete Townshend perform ‘Let My Love Open the Door’ during ‘Late Show’ commercial break
‘The Late Show with Stephen Colbert’ and musical guest Pete Townshend during Wednesday’s November 12, 2025 show. (Photo: Scott Kowalchyk ©2025 CBS Broadcasting Inc.)

The Who‘s Pete Townshend appeared on The Late Show with Stephen Colbert on Nov. 12, where he also sat in with the house band. Now the show is revealing what fans at home didn’t get to see.

The Late Show just released the latest clip in its “Commercial Breakdown” YouTube series, this time featuring Townshend performing his 1980 solo single “Let My Love Open the Door.” The clip has Townshend on acoustic guitar, backed by Louis Cato & The Late Show Band.

Townshend was on The Late Show to promote Quadrophenia: A Rock Ballet, which ran at New York’s City Center. 

During the appearance he talked about being open to using AI to complete unfinished music he has in his vault and also discussed The Who’s final North American tour, which wrapped in October.

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Watch Pete Townshend perform ‘Let My Love Open the Door’ during ‘Late Show’ commercial break

Watch Pete Townshend perform ‘Let My Love Open the Door’ during ‘Late Show’ commercial break
Watch Pete Townshend perform ‘Let My Love Open the Door’ during ‘Late Show’ commercial break
‘The Late Show with Stephen Colbert’ and musical guest Pete Townshend during Wednesday’s November 12, 2025 show. (Photo: Scott Kowalchyk ©2025 CBS Broadcasting Inc.)

The Who‘s Pete Townshend appeared on The Late Show with Stephen Colbert on Nov. 12, where he also sat in with the house band. Now the show is revealing what fans at home didn’t get to see.

The Late Show just released the latest clip in its “Commercial Breakdown” YouTube series, this time featuring Townshend performing his 1980 solo single “Let My Love Open the Door.” The clip has Townshend on acoustic guitar, backed by Louis Cato & The Late Show Band.

Townshend was on The Late Show to promote Quadrophenia: A Rock Ballet, which ran at New York’s City Center. 

During the appearance he talked about being open to using AI to complete unfinished music he has in his vault and also discussed The Who’s final North American tour, which wrapped in October.

v

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