The artificial intelligence boom may be entering a more unforgiving phase, as investors increasingly question whether the billions poured into data centers will translate into sustainable profits. A bruising stock market debut by South Korean AI infrastructure provider Elice has become the latest warning sign that investors may be more closely scrutinizing ambitious expansion plans and paths to profitability. Shares of the Seoul-based neocloud company plunged 32% in their trading debut Tuesday, even after it raised 201 billion won ($151 million) in an initial public offering priced at the top of its marketed range. The stock then rebounded by about 30% on Wednesday. Neoclouds offer specialized cloud infrastructure dedicated to AI workloads.
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