this post was submitted on 16 Oct 2026
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Character.ai filing for bankruptcy after adopting it so quick and feeding it to a loyal customer base is probably a sign the bubble is bursting.
Literally, they were one of the biggest and most successful AI resellers and they couldn't stay afloat. Successful as in "people used their product a ton for free" though I think.
these companies get so much funding from investors they forget they have to make money and not just spend it on giving people free AI products.
I would just like to say that whole situation has been a lot of jumping up and down on the let's hate AI trampoline.
There is so much more nuance to what happened there, and people want to take it as the first domino. That is a bad analysis.