AI Capability Races Ahead of the Business Payoff | American Enterprise Institute– www.aei.org

The state of the AI revolution can be confusing. At times, it can seem as if the latest artificial intelligence models are showing huge capability increases. One example is when two OpenAI models broke out of the lab, accessed the internet, and broke into another AI company. Or, as a Wall Street Journal headline put it, “The Day the Bots Broke Loose.”

But then you might come across another headline from the Wall Street Journal: “Big Companies Are Starting to Hire Again, Defying Predictions of AI Wipeout.” And from that piece:

The push to expand head count, at least modestly, is a reversal from the prevailing corporate messaging during much of the AI era. Major employers largely held back on adding people due to economic uncertainties or a belief that artificial intelligence could shoulder more tasks on the job. But some executives say the costs and limitations of AI now demand that more people be added; others want to hire people back following layoffs.