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Ai Read_012 - The Subprime AI Crisis

AI Unchained

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The Illusion of Generative AI's Promise: A Deep Dive into Financial Sustainability

This chapter analyzes the significant investments made by Big Tech in generative AI since late 2022, questioning the sector's sustainability and profitability. It warns of a looming 'subprime AI crisis' characterized by unprofitability and dependence on venture capital, while scrutinizing the operational costs of industry leaders.

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