Generative AI: Next Big Thing or Another Shipping Container?
This article analyzes the investment landscape of generative AI, comparing it to the microprocessor and containerization revolutions. The author argues that unlike the microprocessor, generative AI hasn't created widespread wealth, instead being largely controlled by established tech giants. Similar to containerization, the value of generative AI is captured more by consumers than its creators. The article suggests investors focus on industries leveraging AI for efficiency gains, such as professional services, healthcare, and education, rather than directly investing in AI model companies due to intense competition and consolidation. Ultimately, consumers will be the biggest beneficiaries of AI, gaining access to a wider variety of affordable knowledge-intensive products and services.