Apollo says AI has delivered zero financial payoff outside tech

Torsten Sløk, Chief Economist at Apollo Global Management, opened a note over the weekend with the line that despite massive investments and widespread hype, AI has delivered zero financial payoff to corporate America outside of tech. His data shows revenue per worker rising in tech and flat for the rest of the economy, with no sign of margin expansion outside it. Jake Conley, Julie Hyman and Pras Subramanian work through what that means for the companies paying the bills, including a friend of Pras's who keeps getting hired to fix software that was vibe-coded and broke. Plus a poll in which 57% of Americans call AI bad for society.

Featuring
Jake Conley, Breaking Business News Reporter, Yahoo Finance
Julie Hyman, Host, Yahoo Finance
Pras Subramanian, Senior Autos Reporter, Yahoo Finance

Watch the full episode of The 8:30: https://www.youtube.com/watch?v=QK0eEOV8M2Q

Disclosure: Yahoo is a portfolio company of funds managed by affiliates of Apollo Global Management.

Timestamps
0:00 Zero financial payoff to corporate America outside of tech
1:26 What companies are paying, and the code that broke
3:46 Revenue per worker is rising in tech and flat everywhere else
5:41 A majority of Americans say AI is bad for society
7:39 The fiber buildout, and the gap before the payoff

#AIBubble #Apollo #DataCenters #The830 #YahooFinance

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