Editors Note: Eric Fry here. Today, we have a special guest issue from my friend and colleague, Luke Lango. The AI Boom has sounded, and it’s creating a divide between investors and businesses that embrace this new technology… and those that do not.
He’s calling this shift the “AI Endgame.” And the time to act, to stay on the right side of the divide, is now.
Take it away, Luke…
Artificial intelligence (AI) has experienced a meteoric rise, sparking excitement for some and posing an existential threat for others.
Will AI usher in an era of unprecedented prosperity and abundance, or will it dominate society, rendering humans obsolete?
Currently, these questions are merely theoretical, suitable for discussion at dinner parties during the holiday season. After all, we will not know the actual answers for decades. True artificial general intelligence (AGI), the level of AI that can perform any task a human can but more efficiently, remains far from reality.
Or does it?
The Breakthrough at OpenAI
A few years ago, the consensus was that AGI would not be achieved in our lifetimes.
Earlier this year, the consensus shifted, with some experts believing AGI was about 10 years away.
Now, technology experts such as Tesla (TSLA) CEO Elon Musk and Nvidia (NVDA) CEO Jensen Huang think AGI is just three to five years away.
Notice the trend?
The timeline to AGI is becoming increasingly shorter, and it is now believed that the level of artificial intelligence that could either save or destroy humanity may be only a few years away.
That is terrifying. If you are already spooked by that sobering reality, you may want to stop reading now.
Because new reports actually suggest that AGI may already be here.
Reuters recently reported that OpenAI, the creator of ChatGPT, discovered an AI breakthrough so significant that its own researchers said it could “threaten humanity.”
While the details are scarce, the company has confirmed that the model is real.
Reportedly, this model has learned to use synthetic data to reason through complex mathematics and science problems. If true, this is a breakthrough that experts recommend could be the most significant leap yet toward true AGI.
Is it time to sound the alarms?
I think so.
The Upcoming Divide
I consider myself an “AI Optimist.” I believe that artificial intelligence, with its ability to augment productivity, will usher in an era of unprecedented economic prosperity and abundance.
I am very confident in this belief.
However, I understand that every situation has its drawbacks. In contrast to the AI-driven prosperity and abundance, there is a grim outlook for individuals and businesses that do not embrace artificial intelligence.
The AI Boom is already creating a divide between the “haves” and the “have-nots.” Take Wall Street, for example. Numerous AI stocks increased by hundreds of percent in 2023. In comparison, the rest of the market, as measured by the S&P 500 Equal Weight Index, barely scraped by 10%.
To put it another way: AI stock investors are making money hand over fist, while other investors are not.
I am confident that this is the new norm, and that artificial intelligence will divide society into two groups.
On one side are investors and businesses who embrace AI, invest in it, and use it to enhance productivity…
On the other side are those who neglect AI, do not invest in AI stocks, and fail to adopt the technology in their daily lives. I believe these individuals are setting themselves up for failure for the next several decades.
Very soon, AGI will significantly and irreversibly accelerate this division.
That is why OpenAI’s breakthrough should terrify you.
The Final Word
If you are not on the right side of the AI Boom, you will be stuck on the losing side, potentially forever.
The time to act is now.
Because this new breakthrough could accelerate an unprecedented AI arms race, dramatically enhance business productivity, and potentially trigger a surge in specific AI stocks.
This pivotal shift, which I’ve dubbed the “AI Endgame,” presents a window of opportunity that savvy investors cannot afford to miss. To get ahead of this upcoming endgame, it is imperative to act swiftly—before Feb. 29.
Editor, Hypergrowth Investing