{"id":488265,"date":"2026-06-21T10:03:10","date_gmt":"2026-06-21T10:03:10","guid":{"rendered":"https:\/\/www.newsbeep.com\/nz\/488265\/"},"modified":"2026-06-21T10:03:10","modified_gmt":"2026-06-21T10:03:10","slug":"the-trouble-with-ai-the-standard","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/nz\/488265\/","title":{"rendered":"The trouble with AI \u00ab The Standard"},"content":{"rendered":"<p class=\"wp-block-paragraph\">AI is fascinating and I use it every day.\u00a0 But the more I use it and the more I think about it the more issues I see with it.<\/p>\n<p class=\"wp-block-paragraph\">Like these.<\/p>\n<p class=\"wp-block-paragraph\">Environmental effects <\/p>\n<p class=\"wp-block-paragraph\">All these data centres that suck up huge amounts of energy and water are not good for the environment.\u00a0 Many local communities are already engaged in fights to oppose the creeping incursion of data centres into their neighbourhoods.<\/p>\n<p class=\"wp-block-paragraph\">The data centres draw huge amounts of power and water.<\/p>\n<p class=\"wp-block-paragraph\">In the United States it was estimated that in 2024 data centres consumed <a href=\"https:\/\/www.energy.gov\/articles\/doe-releases-new-report-evaluating-increase-electricity-demand-data-centers\" rel=\"nofollow noopener\" target=\"_blank\">4.4% of the country\u2019s total power generation<\/a>.  And that by 2028 this figure could be as high as 12%.  At a time when the world is struggling to reduce greenhouse gas emissions this is a whole lot of extra CO2 generation.<\/p>\n<p class=\"wp-block-paragraph\">As for water estimates are that next year data centres will <a href=\"https:\/\/ardion.io\/blog\/ai-water-consumption\/\" rel=\"nofollow noopener\" target=\"_blank\">consume up to 6.6 billion cubic metres of water<\/a>, half of the United Kingdom\u2019s total consumption.<\/p>\n<p class=\"wp-block-paragraph\">And get this.  In the next 12 months it is estimated that the world will spend up to <a href=\"https:\/\/www.aljazeera.com\/news\/2026\/2\/19\/visualising-ai-spending-how-does-it-compare-with-historys-mega-projects\" rel=\"nofollow noopener\" target=\"_blank\">$1.37 trillion US on AI infrastructure<\/a>. <\/p>\n<p class=\"wp-block-paragraph\">Compare this to what other areas the money could be spent on.<\/p>\n<p class=\"wp-block-paragraph\">We could solve world hunger for $265 billion a year.<\/p>\n<p class=\"wp-block-paragraph\">This spend could also go a long way to resolving the climate crisis.  It is estimated that it will cost the world <a href=\"https:\/\/www.mckinsey.com\/capabilities\/sustainability\/our-insights\/the-net-zero-transition-what-it-would-cost-what-it-could-bring\" rel=\"nofollow noopener\" target=\"_blank\">$3.5 trillion per year to develop low emissions assets<\/a>.  Every dollar spent on a power hungry data centre is one dollar less that can be spent on a solar panel.<\/p>\n<p class=\"wp-block-paragraph\">Concentration of wealth <\/p>\n<p class=\"wp-block-paragraph\">The big tech companies engaged in AI are all owned by wealthy people.\u00a0 And their motivations are not altruistic.\u00a0 They are doing this to increase their wealth and power, not for the common good.<\/p>\n<p class=\"wp-block-paragraph\">You just have to look at the major investors in AI.  Mictosoft, Google, Jeff Bezos\u2019 Amazon, Mark Zuckerberg\u2019s Meta, and Larry Elison\u2019s Oracle are involved heavily.  These people display advanced levels of cleptocracy and are not motivated by a desire to contribute to the common good.<\/p>\n<p class=\"wp-block-paragraph\">Remember the Billionaire Space Race?  This feels like similar testosterone driven big dick energy being engaged in by the world\u2019s most powerful men while the world is being held hostage.<\/p>\n<p class=\"wp-block-paragraph\">And check out who they make political donations to?  Concentrating the wealth in the hands of people so willing to sacrifice the political system and the common good so that they become even wealthier is not good for our world.<\/p>\n<p class=\"wp-block-paragraph\">Disruption to society <\/p>\n<p class=\"wp-block-paragraph\">AI is already affecting employment trends and reducing job opportunities.\u00a0 <\/p>\n<p class=\"wp-block-paragraph\">It has distorted hiring activities.  There is already a new generation of graduates who do not have jobs because businesses think that AI can do the job again.<\/p>\n<p class=\"wp-block-paragraph\">And there is no sign of a collective response to the issues.  And Big Tech is making <a href=\"https:\/\/issueone.org\/articles\/big-tech-lobbying-2025-q3\/\" rel=\"nofollow noopener\" target=\"_blank\">larger and larger donations<\/a> to political candidates that pose no threat while at the same time <a href=\"https:\/\/ktla.com\/ap-business\/ap-a-new-york-house-primary-has-become-an-ai-industry-family-feud-with-millions-in-corporate-spending\/\" rel=\"nofollow noopener\" target=\"_blank\">seek to undermine those who do<\/a>.<\/p>\n<p class=\"wp-block-paragraph\">AI is evolving rapidly.  And collectively we still have no idea what we will be doing with it.<\/p>\n<p class=\"wp-block-paragraph\">Disruption to the economy<\/p>\n<p class=\"wp-block-paragraph\">We are in the bubbles of all bubbles.\u00a0 Apart from Nvidia which sell the chips that AI depends on we have a host of AI companies making huge losses and showing no sign of becoming profitable.<\/p>\n<p class=\"wp-block-paragraph\">They are burning through cash.  The current business model is to take on new clients but this makes their losses bigger because the cost of providing the service is greater than the income derived from providing the service and is not predicted to change any time soon.<\/p>\n<p class=\"wp-block-paragraph\">Yet despite this their valuations are sky high.  Many commentators think that we are in the middle of an almighty bubble.<\/p>\n<p class=\"wp-block-paragraph\">And with SpaceX just listed on the Nasdaq and Anthropic and OpenIA planning to do the same thanks to <a href=\"https:\/\/www.wsj.com\/livecoverage\/stock-market-today-dow-sp-500-nasdaq-03-30-2026\/card\/nasdaq-100-rules-to-allow-fast-entry-for-big-companies-like-spacex-i5ef2pvVyldPDQa6bHws\" rel=\"nofollow noopener\" target=\"_blank\">recent changes in Nasdaq\u2019s rules<\/a> be very afraid.  Their size means that your Kiwisaver will very probably find its way there through exchange traded funds.  Musk is going to get some of your money.<\/p>\n<p class=\"wp-block-paragraph\">As they say when the music stops it will be interesting to see who misses out.  It could be a contest between Elon Musk and Larry Ellison.<\/p>\n<p class=\"wp-block-paragraph\">And there are some really whacky ideas.<\/p>\n<p class=\"wp-block-paragraph\">Like orbital AI data centres.\u00a0 Imagine what you would have to do to replace the most simple of computer part replacements?<\/p>\n<p class=\"wp-block-paragraph\">If there is a correction the ripples will be massive.  It could make the Dot Com crash in early 2000 look like a walk in the park.<\/p>\n<p class=\"wp-block-paragraph\">Threats of an AI takeover<\/p>\n<p class=\"wp-block-paragraph\">Remember this?<\/p>\n<p class=\"wp-block-paragraph\">It may be not so dramatic.  It may be that an AI process requested to perfect the making of paper clips <a href=\"https:\/\/cepr.org\/voxeu\/columns\/ai-and-paperclip-problem\" rel=\"nofollow noopener\" target=\"_blank\">gets carried away<\/a>.<\/p>\n<p class=\"wp-block-paragraph\">And there have already been instances indicating nervousness among governments.<\/p>\n<p class=\"wp-block-paragraph\">Anthropic\u2019s Fable 5 was recently removed from public access after security concerns were expressed by the US Government and it imposed export control directives.  The worry was that the software could identify software vulnerabilities and <a href=\"https:\/\/www.theguardian.com\/technology\/2026\/jun\/13\/anthropic-disable-advanced-ai-models-us-government-order\" rel=\"nofollow noopener\" target=\"_blank\">help hackers<\/a>.<\/p>\n<p class=\"wp-block-paragraph\">The Government\u2019s actions may have been related to Anthropic\u2019s refusal to allow the Government to use its software for domestic surveillance and fully autonomous weapons systems.<\/p>\n<p class=\"wp-block-paragraph\">Its reticence was wecome.  In a Kings College study involving multiple war simulations AI decided to start throwing nukes in <a href=\"https:\/\/www.kcl.ac.uk\/news\/artificial-intelligence-under-nuclear-pressure-first-large-scale-kings-study-reveals-how-ai-models-reason-and-escalate-under-crisis\" rel=\"nofollow noopener\" target=\"_blank\">95% of simulations<\/a>. <\/p>\n<p class=\"wp-block-paragraph\">AI should never be allowed near any military system decision making.<\/p>\n<p class=\"wp-block-paragraph\">A possible response<\/p>\n<p class=\"wp-block-paragraph\">These are privately owned assets that has been generated by strip mining the internet and the collective intelligence developed by humanity.  We all have a collective interest in how this develops.<\/p>\n<p class=\"wp-block-paragraph\">Bernie Sanders has been working on a response.<\/p>\n<p class=\"wp-block-paragraph\">About AI he <a href=\"https:\/\/www.theguardian.com\/us-news\/2025\/dec\/28\/bernie-sanders-artificial-intelligence-ai-datacenters\" rel=\"nofollow noopener\" target=\"_blank\">says this<\/a>:<\/p>\n<p class=\"wp-block-paragraph\">\u201cFrankly, I think you have got to slow this process down,\u201d he said. \u201cIt\u2019s not good enough for the oligarchs to tell us, it\u2019s coming, you adapt. What are they talking about? They going to guarantee health care to all people?<\/p>\n<p class=\"wp-block-paragraph\">\u201cWhat are they going to do when people have no jobs? What are they going to do, make housing free? So I think we need to take a deep breath, and I think we need to slow this thing down.\u201d<\/p>\n<p class=\"wp-block-paragraph\"><a href=\"https:\/\/www.stuff.co.nz\/world-news\/360994622\/ap-exclusive-bernie-sanders-unveils-plan-give-public\" rel=\"nofollow noopener\" target=\"_blank\">His solution<\/a> is to have a one time 50% tax on the stock of the large AI companies and to then place these stocks into a public fund.  The Government would then hold voting rights and board seats and work to prevent harmful anti human decisions.  Profits could be distribted to everyone.<\/p>\n<p class=\"wp-block-paragraph\">Conclusion<\/p>\n<p class=\"wp-block-paragraph\">The downsides are evident.  Increased environmental damage, further concentration of wealth in the control of the richest cleptocrats on the planet, disruption to the labour market and to young people\u2019s futures, potential devasatation to the economy if and when the bubble bursts and giving a program with control of military responses have an inclination to throw nukes around, this needs a considered and careful response.<\/p>\n<p class=\"wp-block-paragraph\">But there is no sign of authorities National or International actually taking control of the situation and seeking to manage it.  Instead we are trapped in this laissez faire response which is willing to trust the world\u2019s future to the greedy inclinations of some pretty weird people.<\/p>\n<p class=\"wp-block-paragraph\">Be afraid \u2026<\/p>\n<p>\n\tRelated Posts<\/p>\n","protected":false},"excerpt":{"rendered":"AI is fascinating and I use it every day.\u00a0 But the more I use it and the more&hellip;\n","protected":false},"author":2,"featured_media":488266,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[20],"tags":[365,363,364,111,139,69,145],"class_list":["post-488265","post","type-post","status-publish","format-standard","has-post-thumbnail","category-artificial-intelligence","tag-ai","tag-artificial-intelligence","tag-artificialintelligence","tag-new-zealand","tag-newzealand","tag-nz","tag-technology"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/488265","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/comments?post=488265"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/488265\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media\/488266"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media?parent=488265"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/categories?post=488265"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/tags?post=488265"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}