Economist predicts economic collapse as AI Revolution is mostly smoke and mirrors:
finance.yahoo.com/news/ai-only-5-jobs-says-130000997.html?Ponzi+Scheme
15 replies (most recent on top)
Cisco has poured 1B into AIML/GenAI as per CR
Bankman-Fried wishes he had this Scam instead of his.
Any useful AI will be regulated and controlled by governments.
Cisco banking on AI is uncreative & a yawnfest. My best hope is that the ELT knows AI growth (for Cisco) is vaporware but are using AI as a placeholder until they can figure out some new strategic investments. As sad as this sounds, it makes me miss JC's Market Adjacencies.
AI ... You mean the auto attendant that disconnected me 3x today on the UHC call center? F'ing loser
AI is still an unknown. I suggest you read the book Who Moved My Cheese
Yes, lets read a 1998 fable by an irrelevant author as that will ease us now in the world of reality. You can always tell the Cisco lifers by the date of their books from “the good ole days”
That's ok. By that 90% of us got already laid off through regular layoffs and have jobs at other companies.
Where exactly would that be? McDonalds won’t need IT workers to flip greasy burgers.
A1 is still an unknown. I suggest you read the book Who Moved My Cheese
Prediction: AI bubble will burst 3rd quarter 2026
That's ok. By that 90% of us got already laid off through regular layoffs and have jobs at other companies.
AI = LLM
LLM = hallucinations, model collapse, extraordinary energy consumption (Training and Inference), regulatory risk, copyright risk, legal risk, societal pushback.
the amount of money invested vs the actual predicted potential return is wrong.
for every 1 experienced software developer who benefits from using ChatGPT, 10 are using it wrong and entering poorly written insecure code into the wild.
cleanup will be a full time job
Prediction: AI bubble will burst 3rd quarter 2026
It's highly likely there will be far more money to be made from AI over the next decades.
only by the charlatans @vkx
5% of jobs means nothing. 5% of the US economy is $1.2T/yr, and that's just the start. You don't need AI to take a McDonald's order or to fill it, but AI has provided solutions some of the most advanced researchers could not, so it's possible it will have a disproportionate contribution on the high end over time. Also, from what limited numbers I can find advertising is already a biggest cost to the US than the most expensive healthcare in the world, and I'd bet on both growing significantly over time.
Markets aren't stable. They repeatedly overshoot and undershoot. The advantage of overshooting here is we find what works more quickly. The cost is to fools who don't know the obvious pattern and hang on too long (see everyone who didn't sell anything at Cisco up to $82 and down to $8. There were many.) Separate from the stock Cisco made most of its earnings after 2000. It's highly likely there will be far more money to be made from AI over the next decades.
Imagine that, Cisco being late to the game is actually beneficial. If this collapse really does happen, expect our ELT to gleefully claim that they “knew” the hype wasn’t real.
1 billion AI investment, correct?
the frenzy builds for another year or so, leading to a tech stock crash that leaves investors, executives and students disillusioned with the technology.
Pretty bleak