Apollo Global Management’s recent warning highlights a growing disconnect between the AI boom and the real‑world profitability of companies outside the core tech sector. While headlines celebrate AI breakthroughs, the firm’s analysis suggests that earnings from AI initiatives are largely limited to established technology giants, leaving AI‑heavy ETFs exposed to volatility if the sector fails to deliver on its promises.
In a market already steeped in extreme fear—Bitcoin and Ethereum have fallen over 3 % in the past day—any additional pressure on AI‑linked funds could ripple through the crypto ecosystem. The fact that AI funding is now outpacing crypto deals, as reported by Paradigm’s $1.2 billion raise, underscores that the hype may be more speculative than substantive.
For retail investors, the takeaway is clear: keep an eye on AI‑heavy ETFs and any crypto tokens that claim AI integration. Their performance may lag the broader market if the promised AI profits do not materialize. Watch for upcoming earnings reports from AI‑focused tech firms and the subsequent impact on AI‑centric investment vehicles.