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Deutsche Bank on AI & the US economy

2025-09-29 19:01:29.236337+02 by Dan Lyke 0 comments

Seen this same story behind paywalls, but it's out now: Futurism: Deutsche Bank Issues Grim Warning for AI Industry.

In a new research note, as Fortune reports, the international finance giant Deutsche Bank is warning that AI spending can’t continue to increase exponentially. And if spending were to slow down without realizing the tech’s outsize promises, the analysts caution, it could reveal an economy in tatters — marked by unemployment, lower household incomes, and inflation — that had been hidden by an irrational optimism in the power of AI.

That notion of looking at what kind of returns we'd have to be getting from... well... it's hard to figure out "when do you start looking", but Harvard's Human Centered Artificial Intelligence AI Index Report 2025 says a decend back of the envelope since spending started ramping up starts at $1.5T, and with this year and stretch back could easily be $2T.

So ballpark, we're gonna need to be seeing returns, not just revenues, that are more of the economy than farming. And if your lifetime expectation of chips is 18 months...

Someone smarter than me figure this out, because I'm just seeing "kaboom".

[ related topics: Interactive Drama Invention and Design Education Artificial Intelligence Economics Archival ]

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