{"id":65339,"date":"2025-10-10T07:38:09","date_gmt":"2025-10-10T07:38:09","guid":{"rendered":"https:\/\/www.newsbeep.com\/il\/65339\/"},"modified":"2025-10-10T07:38:09","modified_gmt":"2025-10-10T07:38:09","slug":"jpmorgan-is-spending-2-billion-a-year-on-ai-and-its-paying-for-itself","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/il\/65339\/","title":{"rendered":"JPMorgan is spending $2 billion a year on AI and it\u2019s paying for itself"},"content":{"rendered":"

With the billions flying into AI startups, data centers, and chips, the question we\u2019ve been asking, repeatedly<\/a> at Semafor<\/a>, is: Who\u2019s paying for all of this?<\/p>\n

AI labs are quick to tout supplier and investor deals, no matter how futuristic or fuzzy. But where are the customer brags? News that OpenAI had signed nine-figure deals with Delt or Citadel or Eli Lilly would do as much for the AI ecosystem as multibillion-dollar funding rounds and gigawatt purchases. The quote from the corporate community has suggested, uncomfortably, that companies either aren\u2019t spending much or aren\u2019t seeing much in the way of returns. <\/p>\n

Enter Jamie Dimon yesterday with a rare and welcome receipt: JPMorgan is spending<\/a> $2 billion a year on AI services that are paying for themselves in cost savings. He was vague about the details, but said about half of JPMorgan\u2019s 317,000 employees use the bank\u2019s internal large language model each week to scrape research reports, write code, and generate ideas.<\/p>\n

Of course, the real economic promise of AI for JPMorgan and its ilk isn\u2019t replacing app developers or risk managers. It\u2019s using AI to build new products and bring them to new markets \u2014 to create a bigger pie, not just a cheaper one. <\/p>\n

Mock my prediction<\/a>, as some of you gently did, that live-translating AirPods could crack open global commerce. But JPMorgan sending its top bankers to S\u00e3o Paulo whether or not they speak Portuguese is a small example of AI growing markets, not just cutting costs. Deeper analysis could spin up better ETFs. Predictive tax planning \u2014 hard to do now without endless data collection \u2014 could attract new customers to wealth management.<\/p>\n

I\u2019d like to hear more of this from Dimon and from other CEOs who\u2019ve been conspicuously quiet during this era of AI hype. Until there\u2019s a clearer picture of who\u2019s actually buying AI products, the doubts will keep piling up about the massive sums being spent to build them.<\/p>\n","protected":false},"excerpt":{"rendered":"With the billions flying into AI startups, data centers, and chips, the question we\u2019ve been asking, repeatedly at…\n","protected":false},"author":2,"featured_media":65340,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[20],"tags":[345,343,344,85,46,125],"class_list":["post-65339","post","type-post","status-publish","format-standard","has-post-thumbnail","category-artificial-intelligence","tag-ai","tag-artificial-intelligence","tag-artificialintelligence","tag-il","tag-israel","tag-technology"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts\/65339","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/comments?post=65339"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts\/65339\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/media\/65340"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/media?parent=65339"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/categories?post=65339"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/tags?post=65339"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}