AI's Investment Boom and Its Risks

This chapter examines the transformative impact of artificial intelligence on American life, particularly in the investment sector, with a focus on the surge of capital from venture capital and private equity. It highlights the impressive performance of companies supporting the AI supply chain, like chip manufacturers, while addressing potential risks including supply chain overextension and the sustainability of energy demands. The discussion also raises concerns regarding the profitability of generative AI models and the economic implications for stakeholders if demand decreases.