AI Bubble or 2008 Repeat? Expert Warns of High Leverage in Data Center Financing

Global financial markets face mounting vulnerabilities as the rapid expansion of artificial intelligence infrastructure relies heavily on debt financing rather than equity, drawing sharp parallels to past economic downturns, according to recent market analysis. Krasimir Yordanov, portfolio manager at Sky Asset Management, outlined these risks in an interview on Bloomberg TV Bulgaria, warning that current market leverage trends bear resemblance to the conditions preceding the 2008 financial crisis.

The Hardware Depreciation Trap

Unlike the equity-driven dot-com boom of 2000, the current buildout of data centers is heavily funded through debt instruments. This debt is frequently collateralized by specialized computing hardware, specifically graphics processing units that experience rapid physical and technological depreciation as newer, more advanced architectures enter the market.

“This debt is packaged into special instruments that are sold mostly to insurers, whose clients do not know that they have invested in bonds with such insecure collateral,” Yordanov explained during the broadcast.

Concentration Risk and Open-Source Pressure

The broader artificial intelligence sector remains tightly bound to the performance and financial trajectories of a small group of foundational developers, primarily Anthropic and OpenAI. According to market watchers, widespread profitability across the technology supply chain depends heavily on these key players eventually achieving public market status and sustaining robust revenue growth.

At the same time, expanding open-source AI models threaten to undercut the flagship commercial offerings of major developers, potentially disrupting enterprise commitments and orders placed with hyperscale cloud providers. Analysts point to recent turbulence within specialized investment vehicles as an indicator of how quickly high-leverage positions can unravel during broader market adjustments.

Geopolitical Pressures on Energy Buffers

Beyond technology equities, energy markets remain volatile due to ongoing geopolitical uncertainty surrounding key maritime transit corridors in the Middle East, including the Strait of Hormuz. Strategic reserves released by major economies such as the United States, China, and Japan have temporarily helped suppress crude oil price spikes, though sustained draws could deplete these buffers within months.

A Two-Speed Macroeconomic Reality

The macroeconomic environment in the United States continues to exhibit a distinct two-speed trajectory. While the broader economy experiences modest growth, the technology sector—driven largely by capital expenditures dedicated to data center construction—outpaces traditional industries significantly.

Labor market indicators suggest that while hiring conditions remain subdued across many sectors, overall economic output has avoided a recessionary contraction.