Thread

1. bunderbunder · 1790711630 · focus · HN ↗

   They talk a bit about where the AI companies are supposed to get their revenue from. I’d like to see these analyses go a step further and talk about how those AI customers are supposed to come up with that money as well.

   For example, the article suggests $1T from enterprise productivity tooling. A quick Google suggests the global enterprise productivity tooling market is only worth about $0.1T right now.

   Do we really expect all the world’s corporations to suddenly up their annual spend by 1,000% on average? Why?

   1. nicce · 1790712741 · focus · HN ↗

      > Do we really expect all the world’s corporations to suddenly up their annual spend by 1,000% on average? Why?

      If they keep replacing employees with AI, that is indeed the direction.

      1. sailfast · 1790712841 · focus · HN ↗

         It’s true - but then where do folks get money to buy from the businesses?

         Eventually this merry-go-round runs into some issues if we don’t figure out a way to make this huge productivity boom work.

         1. BenoitEssiambre · 1790714445 · focus · HN ↗

            In theory:

            1) This would make stocks worth a lot more and produce more dividends so everyone owning stock would get money to spend.

            2) Governments effectively indirectly own ~40% of all business profits via corporate taxes, capital gains taxes, dividend taxes, sales taxes. So governments would also have more revenues to spend/redistribute (this depends on governments not wasting it, spending it on wars etc.)

            1. xboxnolifes · 1790715475 · focus · HN ↗

               #1 is still mostly just moving money from the poor to the rich. Most people working for a wage are going to be in the bottom 80%, yet the top 20% own over 80% of the stocks.

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