It is isn’t dead it’s just going to the mature phase of the lifecycle of any industry. The end of the S curve - some will be able to jump to the next S curve (AI?) and continue but is still not clear how, when and who.
As soon as companies get big, the hierarchy gains more weight than logic. Decisions come from bosses, and not from analysis. Big companies become stupid, and the products suffer. Also the business practices suffer. The first sign a company is going to go under is if they made it difficult for you to give them money. Cost control is the most important strategy in business success, but, companies also invent negative strategies whose expected outcome is the ruin of the business. I've seen those at every big company I have worked for. It's the old fashioned idea that hierarchy trumps good analysis "because I'm the boss."
What industries do you think are in the best position to continue to command premium revenues/margins in the face of AI innovation? I would think that more basic offerings face the highest risk, such as Slack
I wonder how ChatGPT would have done relative to the analyst community with these names.
Not sure if you read this paper yet, but it was a good one: https://bfi.uchicago.edu/wp-content/uploads/2024/05/BFI_WP_2024-65.pdf
tl;dr the humans need the machines and the machines need the humans
Thanks for sharing! Article is interesting
I might have to bite the bullet and pay for ChatGPT to give this a spin (the tool they used in the study): https://chatgpt.com/g/g-9P3sIn487-financial-statement-analyzer
It is isn’t dead it’s just going to the mature phase of the lifecycle of any industry. The end of the S curve - some will be able to jump to the next S curve (AI?) and continue but is still not clear how, when and who.
As soon as companies get big, the hierarchy gains more weight than logic. Decisions come from bosses, and not from analysis. Big companies become stupid, and the products suffer. Also the business practices suffer. The first sign a company is going to go under is if they made it difficult for you to give them money. Cost control is the most important strategy in business success, but, companies also invent negative strategies whose expected outcome is the ruin of the business. I've seen those at every big company I have worked for. It's the old fashioned idea that hierarchy trumps good analysis "because I'm the boss."
What industries do you think are in the best position to continue to command premium revenues/margins in the face of AI innovation? I would think that more basic offerings face the highest risk, such as Slack
Less complicated tools and those that don’t require network effects.
I answered the other side of your question….these are the ones that will be disrupted more easily