“Is AI making money yet?” is the wrong question to ask

Global stock markets are unofficially in correction territory this week, with tech and AI stocks leading the fall. While many factors are at play, this correction is partly fueled by investors asking about AI: “Is it making money yet? Has the AI bubble burst?” This line of questioning is akin to asking Tim Berners-Lee, the inventor of the World Wide Web, in 1991: “Is your website making money yet?” That first website, which incidentally can still be visited today, portended many amazing things to come, even if it wasn’t immediately obvious.

These days, we usually mean generative AI when we say AI, though Artificial Intelligence has been around since Machine Learning or even Fuzzy Logic were buzzwords. The intriguing thing about generative AI is that while many people don’t admit to being regular users, a surprising number seem to have OpenAI or Poe accounts.

A quiet revolution is brewing beneath the surface. While most companies remain tight-lipped, whispers suggest that the recent wave of tech layoffs might be partly driven by efficiencies arising from accelerated AI use in programming and content creation. This speculation warrants further investigation, as it raises questions about the future of work in an AI-driven world. Will these laid-off software engineers and content creators become the drivers behind the next wave of startup innovation, leveraging AI to build new solutions?

Evidence of the burgeoning AI startup scene is abundant. A website called There’s an AI for that showcases over 14,000 AI applications designed to do everything from summarizing videos to designing dresses. This explosion of AI tools is already transforming how we work.

I’ve witnessed this transformation firsthand. A colleague, already a strong performer, supercharged their competence in a matter of weeks simply by embracing and learning to use generative AI. Their efficiency and productivity took a giant leap, demonstrating the potential for AI to augment human capabilities. This type of transformation is happening, in both large and small ways, millions of times over across the globe.

However, this transformation is not without its challenges. I recently delivered a class on applied AI for marketing to a room filled with 60 communicators from a listed company. While there was palpable excitement about automating tasks like press release creation and Q&A generation, a sense of trepidation also hung in the air. This mix of excitement and apprehension reflects the reality of AI’s impact on the future of work.

One of my favorite Charlie Munger quotes is, “Recognize reality even when you don’t like it, especially when you don’t like it.” We must acknowledge AI’s potential, invest in understanding it, and adapt our skills accordingly. This new reality, where AI plays an increasingly significant role in our work lives, is already here.

Yes, there are limiting factors: the constant hunger for (and shortage of) training data, backlash from publishers about use of their content for training, the carbon impact of AI’s voracious appetite for computing power, and the potential loss of identity in a world where we are still largely defined by our jobs. The list goes on.

But focusing solely on these limitations or asking if AI is “making money” today is shortsighted. It’s like the blind man who feels the trunk and says an elephant is like a snake. We’re not asking the right questions. Instead, we should be asking ourselves:

• How can we equip ourselves with the skills needed to thrive in an AI-driven workplace?
• What new opportunities will arise from this technological shift, and how can we position ourselves to seize them?
• How can we ensure that the development and deployment of AI are ethical and benefit humanity as a whole?

The future of work is evolving rapidly, and AI is a driving force behind this evolution. Don’t get left behind. Embrace the potential of AI, upskill yourself, and be an active participant in shaping this exciting new reality.