Eric Hippeau, managing partner at Lerer Hippeau, predicts that there will be several “mini bubbles” emerging as artificial intelligence becomes more integrated into the economy. In a recent CNBC interview, Hippeau explained that it typically takes around 10 years for transformative technologies like AI to be fully embraced by society and the economy. He believes that we are still in the early stages of AI adoption and expects to see some ups and downs along the way.
Despite the potential for exponential growth in AI technology, there is also a level of caution regarding government regulation. Hippeau expressed concern about government agencies potentially causing disruptions or slowing down the development of AI without clear reasons. He emphasized the importance of balance between innovation and regulation to ensure the technology’s success.
One example of the growing demand for AI technology is Nvidia, which has seen significant success in selling chips to data centers. With no signs of slowing down, the demand for AI chips is expected to continue to rise. This trend has already resulted in Nvidia selling over $50 billion worth of chips last year and has already sold about $25 billion in the first quarter of this year.
As major tech companies invest billions of dollars into AI development, Hippeau predicts the emergence of a supportive ecosystem of startups working alongside them. This collaboration between big tech companies and startups will be crucial for the advancement of AI technology and its integration into various industries.
Hippeau believes that as more businesses adopt AI technology, we will see mini bubbles emerge across different industries. These mini bubbles could include sectors like healthcare or transportation where AI can revolutionize how services are provided or consumed.
As these mini bubbles form, it will be important for entrepreneurs to capitalize on them while also being mindful of regulatory challenges. For example, some countries have strict regulations around data privacy and security that could impact how these mini bubbles develop.
Overall, while there are challenges associated with integrating AI into society and industry, Hippeau remains optimistic about its potential to drive innovation and create new opportunities.
