Estimates indicate widescale deployment of agentic AI software and embodied humanoid robotics could produce $920 billion in net annual benefits for companies in the S&P 500. About 90% of jobs will be touched by AI through automation or augmentation, generating cost savings from lower headcount, natural attrition, and automation of routine knowledge tasks. That $920 billion equals roughly 28% of projected 2026 pretax earnings and represents about 41% of S&P 500 compensation expense. Realization of these benefits will likely span many years, face significant adoption risks, and could translate into a $13–$16 trillion boost in market value.
Corporate America is on the brink of a radical transformation as artificial intelligence adoption could unlock nearly $1 trillion a year in savings, according to a sweeping new analysis by Morgan Stanley. The bank calculates 90% of jobs will be touched in some way by AI automation or augmentation, with cost savings flowing directly from reduced headcount, natural attrition, and automation of knowledge-intensive but routine tasks.
There are more caveats, as Morgan Stanley's Thematic Investing team cautions these cost savings would "likely take many years to achieve," and they see "significant risk" of some companies not achieving full adoption levels. The $920 billion figure represents 41% of the total S&P 500 compensation expense, they add, and they only have sufficient data to run analyses for approximately 90% of the S&P 500.
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