The real (economic) AI apocalypse is nigh
11 hours ago
- #Technology
- #Economic Crisis
- #AI Bubble
- The AI economic bubble is driven by monopolists seeking growth in new sectors like AI, despite poor profitability prospects.
- AI companies are not profitable and rely on continuous investment, with unsustainable financial models.
- The AI bubble's burst could lead to significant economic fallout, affecting millions of workers and industries.
- AI's real impact is as a set of tools that can be useful when controlled by workers, not as a path to superintelligence.
- The financial practices of AI companies, including funny accounting and reliance on short-term deals, highlight the sector's instability.
- Planning for the post-bubble scenario involves leveraging the remnants of AI investments, like cheap GPUs and open-source models.
- The AI investor mania is more dangerous than AI's technical limitations, setting up a potential economic catastrophe.