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Today = a happy Friday!
Hello, Curse and Coffee friends,
Today, we explore AI’s hole.
Hit reply and let us know what you think (we read all of your kind words).
Coffee at the ready…
The Big Sip
The take: Geoffrey Hinton, the Nobel laureate who helped build modern AI, says tech's trillion-dollar bet has a fatal flaw. The business model assumes workers disappear as costs but remain as customers.
What happened: Speaking with Senator Bernie Sanders at Georgetown University last month, Hinton warned that Big Tech hasn't absorbed a fundamental problem: "If the workers don't get paid, there will be nobody to buy their products."
Why it matters: Microsoft, Amazon, Alphabet, and Meta plan to spend up to $400 billion on AI infrastructure in 2025; their returns depend on a society that can absorb mass displacement without political backlash, regulatory revolt, or a collapse in demand.
What to watch: Senator Mark Warner predicts college graduate unemployment could hit 25% within three years. If that happens before AI creates replacement jobs, the social contract snaps (and so does the customer base).
Hinton quit Google in 2023 to say this out loud. And he won the Nobel Prize. The people still inside aren't talking.
Sponsor Break
Before we slurp into today’s brew…
Here are some wordies from today’s sponsor.
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