Jason KoeblerJul 12, 2024
A blistering Goldman Sachs research report wonders if the massive investment in Generative AI will ever pay off, says stock gains are already baked in "outside of the most bullish AI scenario," and posits that Gen AI is likely a bubble: https://www.404media.co/goldman-sachs-ai-is-overhyped-wildly-expensive-and-unreliable/
Goldman Sachs: AI Is Overhyped, Wildly Expensive, and Unreliable

One of the world's largest investment banks wonders if generative AI will be worth the huge investment and hype: "will this large spend ever pay off?"

404 Media
Show threadJason KoeblerJul 12, 2024

This one of Goldman Sachs' top analysts: "This is not a matter of just some tweaks being required here and there; despite its expensive price tag, the technology is nowhere near where it needs to be in order to be useful for even such basic tasks."

Goldman Sachs ran an experiment where they had AI do a task and also did a task manually and found that it cost six times as much to have AI do the same task as humans. Cites "illegible and nonsensical results"

Show threadBill Of Earth42
@jasonkoebler What's funny is that AI could probably replace the senior management much more easily than the real workers, but they didn't think of that.
Jul 12, 2024 at 10:47pmWeb
Show threadRalph058 (S/he/it) AF4EZJul 14, 2024
@billOfEarth42 @jasonkoebler AI can replace multiple layers of middle management more easily than it can replace either workers or executives.
For the most part, the most efficient executive does nothing but delegate and AI can be very effective at doing that.
Show threadBill Of Earth42Jul 14, 2024
@Ralph058 @jasonkoebler What I've seen is that the higher you go in management, the more separated you are from the details of the actual business, and with each layer of abstraction, the simpler it gets. The top only worries about two things in a corporation: increasing profit and decreasing risk, ie liability.