Goldman Sachs issues a report about generative AI; currently too expensive to justify ROI, no killer app and looming power & chip shortages.
That said they see money to be made if a killer app is found and also simply because bubbles take a long time to burst.
You can read the entire 31 page report below https://www.goldmansachs.com/intelligence/pages/gs-research/gen-ai-too-much-spend-too-little-benefit/report.pdf
@carnage4life the fascinating part of this take is that “the killer app” is yet to emerge.
big investment is in upstream services, LLM training & data acquisition. But none of it is successful without someone downstream having a revelation about how they can be used
more interesting, it’s not clear that we need bigger LLMs to surface that killer app. like, OpenAI & anthropic could die today and maybe AI could still flourish. that’s possible
@carnage4life and yet less than a year ago Goldman Sachs releaved a list of "50 stocks that are positioned for substantial long-term growth due to the widespread adoption of artificial intelligence (AI)."
Are they selling their Nvidia stock, or buying on the potential dip precipitated from this recent report?
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