AI delivers 'zero financial payoff' to most companies, Apollo economist says
What happened
Apollo Global Management chief economist Torsten Slok reported that AI has delivered zero financial payoff to corporate America outside of the tech sector, noting flat profit margins and revenue per worker for the S&P 493 (the S&P 500 excluding major tech firms). He argued that AI, while a powerful calculator, lacks judgment and cannot address accountability, trust, culture, ethical trade‑offs, or fairness, which are essential for revenue growth and profit margins.
Why it matters
If AI cannot improve productivity or profitability in non‑tech companies, their large investments may not yield expected financial returns, potentially slowing broader AI adoption beyond the tech industry.
Is this a big deal?
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