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CEOs are waking up to the reality of AI

Well, the reality of its price and ROI. It's going to be so much fun to sit here and watch as the price tag balloons to ten times what it would have cost to keep the people who were laid of to be replaced by it. And then to watch them scramble to get the same quality of people back. I'm seated.


Tech CEOs Are Quietly Cancelling Their AI Plans

https://www.youtube.com/watch?v=NBtUgWn-nHs

Wendys, Starbucks, Uber, The Big Mouth Mark Benioff, all quietly removing their foots from their mouths and backtracking on AI due to failures and no ROI. AI cant even handle drive though hamburger orders.

Tech CEOs spent the last two years promising AI would replace workers, cut costs, and transform everything. Now they're quietly cancelling data centers, rehiring humans and admitting the math doesn't work. From Microsoft pulling back on billions in infrastructure to Starbucks ki-ling its AI inventory system after it couldn't count milk, Uber burning through a year of AI budget in four months, and one company accidentally spending $500 million on AI tools in a single month the AI hype is hitting reality. Even Sam Altman now says he was wrong about AI replacing jobs.


Starting to lot of press on growing cost of AI

Simple Google search
Yes, AI can actually cost significantly more than human labor. A major reason for this is that running advanced AI requires massive amounts of expensive hardware and energy, making human workers the cheaper and more economically viable option for about (77\%) of roles.Why AI Can Cost More Than HumansSky-High Compute Fees: The processing power—measured in tokens—required for complex, multi-step "agentic" AI systems can outpace the costs of human salaries. Companies like Uber have reported blowing through their entire yearly AI budgets in just a few months due to heavy infrastructure usage.Expensive Hardware and Energy: Nvidia's vice president of applied deep learning has noted that for his team, AI compute costs far exceed the salaries of the employees utilizing the tools.Required Human Oversight: AI still makes frequent errors, forcing companies to pay human workers to monitor the models, review outputs, and fix breakdowns.The Economic RealityA landmark MIT study found that it is only economically viable to automate about (23\%) of jobs. In the remaining (77\%) of cases, employing a human is cheaper, more accurate, and more efficient than relying on artificial intelligence.While research firm Gartner projects that the unit cost of running large language models will drop substantially by 2030, overall enterprise costs will likely remain high. This is because businesses are utilizing much more complex models that require significantly more processing power per task.You can read more about the challenges of AI replacing human labor in this MIT Study or learn about enterprise budget shifts on Forbes.


Most executives admit using AI makes them value human workers less

Story by Craig Hale

Four in five execs say they were less likely to value human employees after using AI
AI still requires human oversight, and many struggle to fully trust it

Poor and even negative ROI continues to plague many

A new study by Globalization Partners has revealed more than four in five (82%) company execs say they are less likely to value human employees after using AI tools, positioning human workers as secondary assets after more capable systems.

This sentiment differs from the current state of affairs, whereby 60% of the 2,850 surveyed senior execs agreed humans still lead work operations with AI merely serving as a productivity booster.

The difference could imply that, while humans remain integral today, managers may place less of an emphasis on the human workforce in the future as AI gets more work done autonomously.

AI is impacting how much top managers value their human workers

The shift likely positions humans as AI managers, rather than administrative workers, with two in three (69%) now spending more time than ever before monitoring and reviewing AI-generated work. The sense of a lack of trust still lingers, too, with only 23% having total confidence in AI's accuracy and 61% worries about legal accuracy when using AI on sensitive documents.

However, while some execs see AI as a human replacer, many others are still dissatisfied with their returns. Three-quarters (73%) say ROI has fallen short of expectations, with 16% even reporting negative ROI. As a result, around seven in 10 execs say they're prepared to cut AI budgets this year if goals are not met.

Separately, Gartner VP Analyst Padraig Byrne explained, "AI is everywhere, but most organizations are still figuring out how to monitor and trust these systems."

Giving a sneak peak into where companies might be getting it wrong, the research firm implied that those building AI agents without strong semantic and contextual data foundations are most likely to see hallucinations, unreliable outputs and biases.

Together, the two reports indicate that while execs are increasingly seeing AI as unavoidable, many are still struggling to trust it.

Looking ahead, Gartner calls for the implementation of model monitoring policies to provide quite quality metrics and an increased focus on infrastructure to handle high-volume model telemetry.

https://www.msn.com/en-us/money/other/most-executives-admit-using-ai-makes-them-value-human-workers-less


AI Layoffs are Backfiring

https://www.foxnews.com/tech/ai-layoffs-may-backfiring-companies
anyhow the article says AI related RIFs may not be payng off...

Gartner found many companies cutting workers while adopting AI are not seeing stronger ROI (ok, as expected) and the better results come from using AI to help employees work faster and smarter.

The main point is that layoffs can free up budget but cos still need skilled people... clean data, and human judgment to make AI useful...


Super Bowl Clowns and Linkedin Posts

Look at all the clowns posting on Linked on how wonderful Vz did at the super bowl, no one gives a flying f….k on how ur speeds were….a normal mal customer just wants his phone working and optimal speeds where majority can use internet. Ask these clowns who spent millions in preparation, what is the ROI on such investments. Tmob and ATT know the future at the current times and wont spend money in useless investments, oh well VZ is used to do pointless investments anyways, so not a shocker!!!!!


HP is funding Trump’s ballroom

What is the ROI on this and how does it align with our strategic planning?
At a time where we keep hearing about constant cost-cutting, endless WFRs, hiring freeze, and rumors of no raises, I think leadership owes us transparency on the motive and expected benefits. This really makes me sick to my stomach and I cannot be alone on this sentiment.


JPM AI investments are now break-even

https://nypost.com/2025/10/07/business/jamie-dimon-says-jpmorgan-spends-2b-a-year-on-ai-and-breaks-even-with-savings/

Due to our autistic upper and middle management, that means we're probably at least 5 years out before we see any material benefit. I don't know how much we're spending on AI, but I guarantee it's just bleeding $. Dimon is a piece of work, but you can't deny JPM's success under his leadership either.

Apparently CS was Dimon's protege, which may have actually been one of his biggest mistakes, seeing how woefully bad CS is in comparison. The only thing CS has managed to "transform" in 6+ years is a massive culling of American jobs and an extremely disgruntled workforce. $30mm / year clown.


Dev Days

At what point do all these "ideation" sessions and powerpoints revolving around AI amount to actual working products in production and increased productivity? We are on year 3 of the company mindlessly pushing this cr-p on people, and all we have to show for it is document summarizing and code review "agents".

When is the board going to ask Candyman when these multiplicative productivity increases that he promised are going to materialize? When will there be an expected return on investment for all this money lit on fire for AI? Cuz right now its all just charlatans making GPT wrappers and demoing to clapping seals while it bugs out