- Goldman Sachs questions AI’s trillion-dollar investment.
- Analysts cite AI limitations, bizarre outputs.
- Some experts remain optimistic, comparing AI to past tech breakthroughs.
Tech giants are gearing up to pour over $1 trillion into artificial intelligence, but Goldman Sachs analysts are raising eyebrows.
When AI suggests gluing your pizza…
A recent report questions whether this massive spend will yield the expected returns. The investment aims to bolster AI infrastructure, including data centers, power grids, and those coveted AI chips.
Jim Covello, head of Global Equity Research at Goldman Sachs, points out AI’s current limitations in solving complex problems.
He cites instances of “illegible and nonsensical results” from basic tasks. Remember when Google’s AI bot advised putting glue on pizza to keep the cheese in place? Yikes!
Not all doom and gloom in AI land
Despite the skepticism, some experts remain optimistic. Kash Rangan and Eric Sheridan, both senior equity research analysts at Goldman Sachs, draw parallels to past technological breakthroughs like smartphones and ride-sharing apps.
They believe AI’s cost-effectiveness will improve over time, potentially revolutionizing industries in ways we can’t yet imagine.
