Companies Are Spending 5x More on AI Now

If you survey just the mainstream media, you might have the impression that business adoption of AI was in some way impaired or slowing down. The stories that make the news about enterprise adoption of AI seem primarily right now to be about companies restricting how much their employees can spend on it. Like Apple, for example, cutting the amount that engineers can spend per day, which was a story this week. And yet when you take a step back, not only has AI adoption in the business sector continued unabated, the speed at which it is growing is actually increasing, defying all logic and expectation as it starts from a bigger base. The story of enterprise AI adoption this year is very clearly the story of agents, and that's what we're looking at on today's episode. The AI daily brief is a daily podcast and video about the most important news and discussions in AI. Alright. Quick announcements before we dive in. First of all, thank you to today's sponsors, KPMG, C Data, Granola, and Blitzy. To get an ad free version of the show, go to patreon.com/aidailybrief, or you can subscribe on Apple Podcasts. And if you want to learn more about sponsoring the show, send us a note at sponsors@aidailybrief.ai. One more quick shout out before we dive in. Our newest premium AI training program is starting soon. It's called the AI Champions Boot Camp. It's three weeks long and this one has six live sessions led by Nufar Gaspar, frequent contributor to the show, and will not just help people use agents more effectively, but have the skills and resources to bring that use to their entire teams. You can get all the information for that program at bsuper.ai, and the boot camp begins on November 16. Welcome back to the AI Daily Brief headlines edition, all the daily AI news you need in around five minutes. Well, looks like the markets got a little bit annoyed at my overly optimistic analysis because yesterday, AI stocks plummeted in the worst drawdown since 2020. Overall, the MAG seven lost a combined trillion dollars in market cap, with NVIDIA falling 9.3% and Microsoft dropping 3.6%. The pain was even greater in the AI supply chain, where Micron lost 17.5% and Sandisk plummeted 22.3%. The S and P five hundred fell by 4.4% and the NASDAQ collapsed by 6.4% in the largest single day drop for the major indices since March 2020. Fatalistic takes were all over x. Kevin Chiu from Alpha AI wrote, we're f'd, absolutely f'd. The AI trade is over. We all top blasted and holding bags now. Tech investor Steven Sunofsky added, this is not the AI trade or AI lost the election trade as you might read or see, but rather the what happens when USAI is not going to happen trade. In fact, one of the most striking parts of the drawdown was how broad based it was. Completely unrelated stocks like Walmart …