Our AI writing assistant, WriteUp, can assist you in easily writing any text. Click here to experience its capabilities.

Future of Finance: 5 Hard Truths About How AI Impacts the Real World

View Original View Raw

Summary

This article discusses the current state of artificial intelligence (AI), as well as how it is impacting the finance world. It looks at five hard truths about the real world implications of AI, such as the power of AI use cases, the limited usefulness of consumer AI, how current AI is similar to 1995 rather than 2001, that there is no easy money to be made with AI, and that some form of regulation is probably necessary. The article also provides information about a webinar featuring two experts on the topic of AI and real-world investing.

Q&As

What are the truths about how AI impacts the real world right now?
Truth #1: AI use cases are incredibly powerful. Truth #2: Most “AI” for consumers is meh — for now. Truth #3: In AI land, it’s 1995, not 2001. Truth #4: There’s no easy AI money here. Truth #5: (Some) AI regulation is probably a good thing.

How is AI being used by consumers currently?
The easy/free versions of most AI tools, like ChatGPT 3.5, Bing’s AI search tool, and Midjourney, aren’t particularly useful or compelling. Most ChatGPT applications need something else under the hood, be it a live internet connection or a connection to a known source of truth.

What comparisons can be made between the AI hype-frenzy and the Dotcom boom?
The comparisons between the AI hype-frenzy and the Dotcom boom are obvious and endless. They’re also largely correct. We’re at the beginning of the story, not the end.

What is the current spending on AI research and development?
IDC reports they see 2023 total spend crossing $500 billion. Or 5 times the entire R&D budget for the U.S. government.

What is an AI bill of rights and why is it important?
An AI bill of rights would include having a fundamental right to know whether you’re interacting with humans or machines, labelling content provenance, prohibitions against certain predatory AI behaviors, and basic guidelines about what “publicly available” AI must do to be considered a safe consumer product. It is important to ensure that AI is used responsibly and ethically.

AI Comments

👍 This article provides an excellent overview of the potential of AI and how it is currently being used. It's great to see Dave Nadig's expertise in the field and the advice from Zeno Mercer and Adam Butler.

👎 This article does not address the potential dangers of AI and fails to acknowledge the potential for AI to be used for nefarious purposes.

AI Discussion

Me: It's about the future of finance and how AI impacts the real world. It talks about the potential of AI and the potential risks of investing in AI. It also touches on the need for regulation of AI and the comparison between the AI hype-frenzy and the Dotcom boom.

Friend: Interesting! It seems like AI is going to be a major factor in the future of finance. It's definitely something to watch out for. What implications do you think this article has?

Me: Well, the article suggests that AI is going to be an incredibly powerful tool for finance, but that there is also a lot of hype around it and that it's still in its early stages. It also highlights the importance of regulation and consumer rights when it comes to AI, and the need to be aware of the potential risks of investing in AI. So I think the implication is that people should be aware of the potential of AI in the future of finance, but also be aware of the risks and potential pitfalls.

Action items

Research the European AI Act to understand the implications of AI regulation.
Attend the webinar “Beyond Chat: How AI Is Impacting Real-World Investing Right Now” to learn more about how AI is impacting the real world.
Explore the AI tools available to understand how they can be used to improve businesses.

Technical terms

Disruptive Technology Channel: A website that provides news, information, and analysis about disruptive technologies.
AI: Artificial Intelligence.
ChatGPT: A natural language processing tool that can summarize, compare, and contrast bodies of text.
GPT4: A subscription-based natural language processing tool.
Bard: A natural language processing tool from Google.
Wolfram Research: A company that provides access to academic scientific research.
Kayak: A travel planning website.
Daizy: An investment analysis chatbot.
Dotcom Boom: A period of rapid growth in the internet industry in the late 1990s.
OpenAI: A research laboratory that focuses on artificial intelligence.
IDC: International Data Corporation, a market research firm.
Python: A programming language.