Comment by rhetocj23
7 days ago
Yeah I agree.
A controlled experiment done with a representative sample would be lovely. In the long-run it comes down to the financial impact that occurs incrementally because of LLMs.
In the short-run, from what I see, firms are trying to play-up the operational efficiency gains they have achieved. Which then signals promise to investors in the stock market, for which, investors then translate this promise into expectations about the future which are then reflected in the present value of equity.
But in reality it seems to be reducing head-count because they over-hired before the hype and furore of LLMs.
> In the short-run, from what I see, firms are trying to play-up the operational efficiency gains they have achieved.
The thing is all of this is getting priced in, and will be table stakes for any business, so I don't see it as a big factor in future success.
As I've said here, LinkedIn, and one a few other places, the businesses that will succeed with AI will be those who can use it to add/create value. They will outcompete and out-succeed businesses that can't move beyond cost cutting with AI[0].
[0] Which might not last forever anyway. Granted there are a decent number of players in the market, thankfully, but this wouldn't be the first time tech companies had hooked large numbers of individuals and businesses on a service and then jacked up the prices once they'd captured enough of the market. It's still very much in the SV and PE playbook. SolarWinds is a recent example of the latter.