‘At some point you’ve got to make money’: Goldman’s top AI skeptic warns the clock is running out ahead of OpenAI and Anthropic IPOs
Jim Covello, a top AI skeptic at Goldman Sachs, is warning that the window for AI investments to generate significant returns is closing. Despite rapid technological advancement and consumer adoption, many companies are currently losing more money on AI implementation than before. Covello emphasizes that the critical factor for AI's success is demonstrable enterprise return on investment, which has so far been largely absent, with much research indicating zero or negative ROI on AI pilots. AI
IMPACT Questions the near-term financial viability of AI investments, suggesting a potential shift in market focus from growth to profitability.