Goldman Sachs: AI Is Overhyped, Wildly Expensive, and Unreliable

Investment giant Goldman Sachs published a research paper

Goldman Sachs researchers also say that

It's not a research paper; it's a report. They're not researchers; they're analysts at a bank. This may seem like a nit-pick, but journalists need to (re-)learn to carefully distinguish between the thing that scientists do and corporate R&D, even though we sometimes use the word "research" for both. The AI hype in particular has been absolutely terrible for this. Companies have learned that putting out AI "research" that's just them poking at their own product but dressed up in a science-lookin' paper leads to an avalanche of free press from lazy credulous morons gorging themselves on the hype. I've written about this problem a lot. For example, in this post, which is about how Google wrote a so-called paper about how their LLM does compared to doctors, only for the press to uncritically repeat (and embellish on) the results all over the internet. Had anyone in the press actually fucking bothered to read the paper critically, they would've noticed that it's actually junk science.

Go-dAmn Sachs is wrong often, but in this I think they're on point. Learned from the Crypto insanity.

saying the quiet part out loud... big tech won't like that.

I've found like, 4 tasks that are really helped with by AI, and I don't have the faintest idea how you could monetize any of them beyond "Subscribe to chatgpt"

In other news: water is wet and bears shit in the woods

AI has been overhyped since it first played tic-tac-toe in the 1950s. One definition of "AI" is: "an algorithm that people don't understand... yet" 🤷

Man I love it when billionaire assholes finally figure out what the rest of the world has been saying since the beginning.

No really?

Some of our customers were boasting how awesome AI is a year or so ago.

Turns out, the only thing it's changed is writing error handling for errors it's introducing

If there’s one job I think AI could definitely replace, it’s crafting reports by investment bankers.

"Today" AI is Over hyped, Wildy expensive and unreliable. This is like the quote about the Internet not catching on, or how nobody would ever need more than 640kb of ram. honestly y'all make me chuckle.

If Goldman Sachs said that, then most likely the opposite is true.

I'm surprised how everyone here believes what that capitalist company is saying, just because it fits their own narrative of AI being useless.

Goldman Sachs has not invested in AI.

Their statement is factual though, on all three points. nVidia's share price alone should alarm people. It's the new dot com bubble.

Oh no, you mean the big "smart" money investors that manage to crash the economy every decade or so and ruin every business they touch are gonna leave generative AI alone? Oh nooo. How will the science progress without Goldman Sachs's guiding hand?

Good riddance.

Hopefully this will have an impact

They’re just not invested in it yet. Once their money is in it, they’ll suddenly say it’s the best thing in the world.

"will this large spend ever pay off?"

That's the neat part: it won't!

About damn time the narrative starts to change.

Yeah.

D'oh!

Oh, so now we're supposed to pay attention? Internet pundits came to the same realisation from the beginning, but we don't have the same kind of purchasing power.

But it is killing jobs, and that's what's important.