Key points: Ferrari Chairman John Elkann is not worried about an AI bubble, saying that even a market pullback would not hold back the technology's long-term development.

He acknowledged that the risk comes from two sides: AI infrastructure investment is surging, while the revenue outlook from commercialization remains uncertain, creating a mismatch between the two.

The industrialist said European tech companies have the strength to compete with rivals in the United States and China.

Ferrari NV (RACE) Chairman John Elkann played down market fears about an artificial intelligence bubble, but warned that a supply-demand mismatch in AI could bring risks to the market.

On Friday, the billionaire industrialist gave an exclusive interview. He is also a Meta board member and invests in multiple tech companies through the family holding company Exor.

Elkann expressed optimism about the AI industry's prospects over the next decade. Elkann, who also serves as chairman of multinational automaker Stellantis (STLA), said demand for AI-related technology in energy and computing power remains high.

"But what is still unclear is what kind of revenue-generating mechanisms and business models this technology can produce," he said. "That is where the mismatch risk may appear."

Elkann said bubbles come in different types: one driven purely by financial speculation, and another stemming from rapid expansion of investment and infrastructure. But investors should keep their eyes firmly on the direction the technology itself is taking.

"I do not agree with the view that AI is a bubble," he said. "Even if a bubble appears, or bursts, it ultimately will not hold back the progress and development of the technology."

The interview took place on the sidelines of the 2026 Wave Tech Conference (formerly Italian Tech Week) in Turin. Speaking with reporter Caroline Rose, Elkann said that against the backdrop of intensifying U.S.-China tech competition, European companies can unleash "extremely strong technological strength."

Turning to Europe's current investment environment, he noted: "Where investment flows ultimately depends on how many opportunities there are." "The more opportunities there are, the more capital will flow toward them."

He specifically cited Milan-based conglomerate Bending Spoons (ticker: BSP), which owns businesses including Vimeo, Eventbrite and AOL, as an example. "This is an excellent case: a company born in Italy, with a global vision, able to grow and compete in many different markets, and now it has done so."

He added: "The more companies like this there are, the more investors will be willing to bet on them."