Prof G Markets · Friday, July 31, 2026
Jim Chanos questioned the ultimate productivity gains and profitability enhancements AI will bring, suggesting that much of the current investment might be front-loaded. He referenced the internet's impact, noting that aggregate economic statistics showed little change in GDP growth or S&P profits in the decade before and after Netscape.
“So, um, for all of the wonderment of the internet and it certainly changed their lives and it brought forth all kinds of new businesses and killed a lot of old businesses, um, you wouldn't have noticed it in the aggregate economic or even arguably financial statistics.”
“Um, and so the question becomes, what will AI bring in the form of productivity gains, what will it bring in the way of enhanced profitability, and how much of that is being front loaded today?”