Think a Recession Is Coming? This AI Stock Can Still Thrive.
One of the core assumptions that underpins the artificial intelligence (AI) boom is that each new generation of AI model will require ever-increasing computational horsepower to train and run. DeepSeek, the Chinese AI company that managed to put out an AI model that performed well using a fraction of the computational resources of top-tier AI models, raised some serious questions about the future of the AI industry.There are some other signs, as well, that more computing power may not be the answer. OpenAI's GPT 4.5, an enormous AI model that's not much of an upgrade over the company's previous models, is so expensive to use that viable real-world use cases are likely few and far between.AI models are indeed becoming more powerful, but they're also becoming more wrong. The New York Times reported this week that the newest "reasoning" AI models are producing incorrect information more often than older models and no one seems to know why.Continue reading
One of the core assumptions that underpins the artificial intelligence (AI) boom is that each new generation of AI model will require ever-increasing computational horsepower to train and run. DeepSeek, the Chinese AI company that managed to put out an AI model that performed well using a fraction of the computational resources of top-tier AI models, raised some serious questions about the future of the AI industry.
There are some other signs, as well, that more computing power may not be the answer. OpenAI's GPT 4.5, an enormous AI model that's not much of an upgrade over the company's previous models, is so expensive to use that viable real-world use cases are likely few and far between.
AI models are indeed becoming more powerful, but they're also becoming more wrong. The New York Times reported this week that the newest "reasoning" AI models are producing incorrect information more often than older models and no one seems to know why.
