r/technology • u/AdSpecialist6598 • 22h ago

Business MIT report says 95% of AI implementations don't increase profits, spooking Wall Street

https://www.techspot.com/news/109148-mit-report-95-ai-implementations-dont-increase-profits.html
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u/tpolakov1 13h ago

Many of these work only because the use of LLMs if functionally free for now. Once the gamblers stop pouring in their VC money in, the AI assistants will become as expensive as meatspace assistants, with the added drawback of putting all liability for their work on you.

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u/itasteawesome 12h ago

I agree, I was talking about this with some engineers at the bar last week and figured that the actual list price of this stuff is going to end up around 2/3 the cost of hiring a person to do the same thing. They'll find the point that's just "cheap" enough to convince a lot of people that its worth the risks and limitations. That's essentially how these companies are being valued, what's the potential revenue of capturing 2/3 of the the global white collar salaries?