What happened to the artificial-intelligence investment boom?

Many economists AIgdp ai aiAI gdpai believe that generative is about to transform the global economy. A paper published last year by Ege Erdil and Tamay Besiroglu of Epoch, a research firm, argues that “explosive growth”, with zooming upwards, is “plausible with capable of broadly substituting for human labour”. Erik Brynjolfsson of Stanford University has said that he expects “to power a productivity boom in the coming years”.For such an economic transformation to take place, firms need to spend big on software, communications, equipment and factories, enabling to slot into production processes. An investment boom was required to allow previous breakthroughs, such as and the personal computer, to spread across the economy. From 1992 to 1999 American non-residential investment rose by 3% of , for instance, driven in large part by spending on computer technologies. Yet so far there is little sign of an splurge. Across the world, capital expenditure by businesses (or “capex”) is remarkably weak.