posted in Technology

sanitation@sanitation@lemmy.today

Top economist warns that the AI math doesn’t make sense: 'Profits are currently being funded by investors rather than earned from customers'

fortune.com/2026/08/10/torsten-slok-ai-profit-margins-capex-oracle/
Larry EllisonFortuneTop economist warns that the AI math doesn’t make sense: 'Profits are currently being funded by investors rather than earned from customers' | FortuneThe AI boom has turned the standard profit margin model on its head, according to Apollo Chief Economist Torsten Slok—and it’s making the industry’s growth unsustainable.
Jaysyn@Jaysyn@lemmy.world

Replying to @⁨sanitation@lemmy.today⁩

Nice to see you’re finally catching up to Ed Zitron.

Ed Zitron's Where's Your Ed AtWhy Everybody Is Losing Money On AIHello and welcome to another premium newsletter. Thanks as ever for subscribing, and please email me at ez@betteroffline.com to say hello. As I've written again and again, the costs of running generative AI do not make sense. Every single company offering any kind of generative AI service
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