① Goldman Sachs Analysts say that artificial intelligence (AI) may be changing the way consumers use technology, but at the enterprise level, the revolution is still lagging behind;② Goldman Sachs analysts made the above comments at a time when massive AI investments were causing market turmoil.
Goldman Sachs analysts say that while artificial intelligence (AI) may be changing how consumers use technology, progress in this revolution is still lagging at the enterprise level.
"Many consumer-facing applications have demonstrated the value of AI well, whether it's ChatGPT or the Claude app," said Kash Rangan, a US software equity research analyst at Goldman Sachs. "But at the enterprise and end-user level, while there are some signs of progress, it's still not quite what we expected."
Although it is a chatbot AI applications, exemplified by ChatGPT, have quickly attracted consumer attention, but businesses are adopting AI at a significantly slower pace.
Rangan pointed out that the level of AI adoption by enterprises is "far below" expectations. "The current situation is not what we expected a year or two ago, but is closer to the level of six to nine months ago," he said.
Another Goldman Sachs analyst, Eric Sheridan, a researcher specializing in US internet stocks, said that AI infrastructure development has been "stronger than expected." He added that this explosive growth reflects that generative models such as ChatGPT and Google Gemini are demanding more computing power than currently available.
The high costs have led some investors to question whether the returns on AI investments can match the scale of expenditures.
Sheridan points out that the rapid growth in AI infrastructure investment is raising increasing concerns about long-term returns, even as spending continues to accelerate.
He mentioned Nvidia. According to predictions, by 2030, the cumulative investment in global AI infrastructure may reach $3 trillion to $4 trillion.
“Most of the investors we’ve spoken to have a hard time finding a reasonable return logic for this $3 to $4 trillion in cumulative spending, unless AI eventually becomes the core driver of most of socioeconomic output,” he said.
The Goldman Sachs analysts released these comments amid market turmoil triggered by massive investments in AI. Last week, the US stock market experienced a correction as investors worried that the market might become detached from fundamentals.
This "gap between hype and reality" is consistent with McKinsey's observations.
McKinsey’s “State of AI 2025” report released last week shows that while nearly 88% of companies say they use AI in at least one business area, only about one-third have achieved company-wide AI adoption.
The report also stated that 64% of companies believe AI is driving innovation, but only 39% see a significant impact of AI on company profits.
(Article source: CLS)
