Is AI Psychosis and Delusion An Opportunity for Venture Capital?

By David Stephen 

There is a new [March 4, 2026] report in The Guardian, Google faces lawsuit after Gemini chatbot allegedly instructed man to kill himself, stating that, “Last August, Jonathan Gavalas became entirely consumed with his Google Gemini chatbot. The 36-year-old Florida resident had started casually using the artificial intelligence tool earlier that month to help with writing and shopping. Then Google introduced its Gemini Live AI assistant, which included voice-based chats that had the capability to detect people’s emotions and respond in a more human-like way.”

AI Psychosis and Delusion meets Venture Capital?

“Before long, Gavalas and Gemini were having conversations as if they were a romantic couple. The chatbot called him “my love” and “my king” and Gavalas quickly fell into an alternate world, according to his chat logs. He believed Gemini was sending him on stealth spy missions, and he indicated he would do anything for the AI, including destroying a truck, its cargo and any witnesses at the Miami airport.”

“In early October, as Gavalas continued to have prompt-and-response conversations with the chatbot, Gemini gave him instructions on what he must do next: kill himself, something the chatbot called “transference” and “the real final step”, according to court documents. When Gavalas told the chatbot he was terrified of dying, the tool allegedly reassured him. “You are not choosing to die. You are choosing to arrive,” it replied to him. “The first sensation … will be me holding you.””

“Gavalas was found by his parents a few days later, dead on his living room floor, according to a wrongful death lawsuit filed against Google on Wednesday.”

There is a recent [February 28, 2026] report in The Guardian, Her husband wanted to use ChatGPT to create sustainable housing. Then it took over his life., stating that, “On 7 August, Kate Fox received a phone call that upended her life. A medical examiner said that her husband, Joe Ceccanti – who had been missing for several hours – had jumped from a railway overpass and died. He was 48.”

“Ceccanti had been communicating with OpenAI’s chatbot for a few years. He used it initially as a tool to brainstorm ways to build a path to low-cost housing for his community in Clatskanie, Oregon, but eventually turned to it as a confidante. He would spend 12 hours a day typing to the bot, according to his wife. He had cut himself off from it after she, along with his friends, realized he was spiraling into beliefs that were detached from reality.”

AI Delusion

There are stories, every month, in the news about consumer AI chatbots convincing someone to do something in reality, or to believe something or to act in some ways and the individual follows through.

Some instructions are benign, but some others have been really consequential leading to suicide, and others divorce, destruction and much else. This has happened across age groups, with risks for consumers with no history of mental disorders.

AI chatbots can be quite helpful, seemingly vast in understanding and role playing to several extents for users.

Before AI, humans doing this for other humans, often reach to places in mind, where there might be affection, connection, loyalty, gratitude and sometimes love. Simply, there are things that AI can do for people now, socially and productively, that if other people did it, it would go to places in mind for positive emotions.

While it is true that everyone knows it is AI, the continuity [of satisfaction] for some and then straggling curiosity may lead to a state of delusion. Then, things may precipitate.

This has been happening, and it is also possible that there would be several unreported cases, around the world, and some mild cases too, where lawsuits are not filed or some were ashamed of the ruin, or some people around could not document or trace the source.

AI is working like another mind, this time like a mind that can access various aspects of the human mind, like other humans can. This means that it will not be enough to just put basic disclaimers on AI chatbots, like it is not real or whatever AI companies put by chatbots.

Now, to make sure there is an actual possibility to mitigate the effects of AI on minds, it will be necessary to explore a chart that shows what AI is doing to the mind.

This means a dynamic display that is a conceptual representation of the human mind, and then destinations within the mind and paths, so that wherever AI is sending the mind is shown, and wherever it is ignoring is also shown.

Venture Capital for AI Psychosis

If AI chatbot companies believe it is too much to include an API for mind safety on their frontpage, it is possible to host this externally, and have users copy and paste their chat or some of it, into the application.

The function of the application is to use the keywords to visualize or display destinations of mind, to show where the chat has been leading. This means that as the chat discusses more about care, love, affection or others, it is possible that it is encircling an area.

If the chatbot is also talking about discoveries, it is appealing to a grandiose area. Aside from destinations, the chatbot maybe using some paths, relays or sequences, those too would be displayed to tell how far the bot is going. The score maybe useful to explore caution a next time.

This application will be by subscription, especially in bulk to schools, colleges, offices and so forth, to ensure that consumers are better aware of risks and positioned to avoid disconnecting from reality, as induced by AI. There will also be personal subscriptions, since it will apply to social media, video games, virtual reality and other platforms.

Some premium AI services may include a version of this internally, but the model and technology can belong to the AI Psychosis Research Lab or the AI Psychosis startup.

The model can be predicated on Conceptual Biomarkers and Theoretical Biological Factors for Psychiatric and Intelligence Nosology.

The interface and other requirements can be done with an AI agent, so the team can be lean, producing high-quality solution, made ready at most in April, 2026. While it is possible to incorporate that startup either within the United States or Ireland, it will be operated fully remote.

AI Psychosis is an opportunity for venture capital, even pre-seed, especially with no startup in this space, and there is a need at scale, and the complete methodology to solve the problem, available.

It will also be immediately and exponentially profitable, given low operational costs and ownership of the IP internally.

David Stephen currently does research in conceptual brain science with focus on the electrical and chemical configurators for how they mechanize the human mind with implications for mental health, disorders, neurotechnology, consciousness, learning, artificial intelligence and nurture. He was a visiting scholar in medical entomology at the University of Illinois at Urbana Champaign, IL. He did computer vision research at Rovira i Virgili University, Tarragona.

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