AI Will Not Make You Rich

Generative AI is unlikely to generate massive wealth for its creators, as it currently mirrors the trajectory of shipping containerization rather than the microprocessor revolution. While the technology will significantly boost global GDP, intense competition and high capital requirements mean that value will primarily accrue to customers rather than the model builders themselves. Because AI is already in an evolutionary stage dominated by incumbents, new startups face limited opportunities to build sustainable moats. Investors should avoid the crowded infrastructure and model-building layers, instead focusing on downstream sectors like professional services, healthcare, and education. These industries can leverage AI to drive efficiency and productivity, mirroring how companies like IKEA and Walmart utilized containerization to transform their business models. Ultimately, the most successful investments will be in firms that use AI to unlock new markets rather than those simply attempting to innovate the underlying technology.