""The raw technological horsepower [of AI] is terrific, but it's not going to determine how quickly AI transforms the economy." - Andrew McAfee"
""AI data centers will need to spend a whopping $6.7 trillion on computing to keep up with demand by the year 2030." - McKinsey"
""OpenAI spent the entirety of its $4 billion revenue on running and training models." - Ed Zitron"
"The AI industry has not yet figured out how to be profitable, and possibly never will."
The AI industry struggles to achieve profitability, with substantial operating costs undermining ROI potential. Prominent stocks in the sector, such as OpenAI and Nvidia, showcase a facade of success, yet deeper analyses reveal significant financial challenges. Industry leaders express concerns about the escalating expenses, with projections estimating $6.7 trillion needed for data centers by 2030. Current market size is about $305.9 billion, suggesting a gap between demand and profitability. Existing revenue fully supports operational demands, casting doubt on the industry's financial viability and future growth prospects.
Read at Futurism
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