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Behind the Numbers: an EMARKETER Podcast
The Weekly Listen: Why AI Might Be Hitting a Wall, The Impact of Impending Tariffs, and More | Dec 13, 2024
Dec 13, 2024
Oscar Orozco, Senior Director of Forecasts at eMarketer, joins Ethan Cramer-Flood, Principal Forecasting Writer, and Zach Goldner, Senior Forecasting Analyst, to discuss the slowing pace of AI development amidst growing consumer skepticism. They explore TikTok's uncertain future amid political tensions and how sports viewership is shifting towards highlights over full games. The team also delves into the financial impact of looming tariffs on American consumers and the changing dynamics of youth sports participation. Insightful and engaging!
43:53
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Quick takeaways
- The escalating costs and complexities of maintaining AI platforms may lead over 50% of enterprises to abandon large-scale AI development by 2028.
- Impending tariffs are projected to significantly increase prices for U.S. consumers, echoing historical impacts of past tariff implementations on everyday goods.
Deep dives
AI Development Challenges
The ongoing development of artificial intelligence is facing significant hurdles, particularly in terms of increasing costs and diminishing returns. Research indicates that the maintenance expenses for AI platforms can reach up to $700,000 daily, posing a substantial financial burden on companies. A notable prediction suggests that by 2028, over 50% of enterprises may abandon efforts to develop large-scale AI models due to these overwhelming costs and complexity. Consumer sentiment is also shifting, with a Pew study revealing that 52% of Americans are now more concerned about AI than excited, demonstrating a growing fatigue and skepticism towards this technology.
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