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As AI becomes increasingly embedded in everyday life, it may lose its distinct identity as a technology, blending seamlessly into the background to become an invisible yet indispensable part of our world.
The hype surrounding artificial intelligence (AI) is undeniable, with tools like ChatGPT and other advanced services transforming daily tasks. However, this very success may lead to a counterintuitive outcome: AI could become so integrated into our lives that we stop talking about it as a distinct technology within the next five years. This shift suggests that what we currently call AI will evolve into something more ubiquitous and less visibly labeled.
The rapid adoption of AI technologies is reshaping how businesses operate and consumers interact with information. According to Erik Gahner, the term "AI" often combines machine learning and marketing to appeal to both tech-savvy and non-tech audiences. This framing has fueled significant investment and innovation, but it also sets high expectations that may not be sustainable in the long term.
Gahner points out that what we now call AI was previously described using different terms. For example, features like Netflix's recommendation system were once hailed as applications of AI. In a 2020 blog post, the author described how "Netflix can predict and recommend what kind of movies we are likely to watch in the future" using AI. Today, such systems are taken for granted, and the term "AI" is more often associated with cutting-edge technologies like large language models and multimodal learning.

This trend is reminiscent of the big data revolution. In 2020, Lewis Gavin wrote in a blog post that big data would be dead within five years. However, this did not mean that big data became irrelevant; rather, it became so ubiquitous that it ceased to be a distinct topic of discussion. Similarly, AI is likely to follow the same path.
While the term "AI" may fade from the limelight, its impact will continue to grow. The technologies we now call AI will become integral parts of our daily lives, much like how big data has transformed industries without being a constant topic of discussion. This shift from hype to ubiquity is a natural evolution that reflects the maturation and widespread adoption of AI.
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Marcus began tracking AI's market implications in 2016, noticing AI-related patent filings accelerating ahead of earnings upgrades before most of the sell-side had caught on. A former fixed-income quantitative analyst, he spent two decades building models that priced risk across emerging markets before pivoting to cover the economic impact of AI full-time. His writing translates opaque technical developments into clear risk/reward terms — and he's rarely diplomatic about the gap between AI valuations and underlying fundamentals. He believes most market participants still underestimate AI's long-run deflationary effect on knowledge work.
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8 January 2025
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