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AI’s Missing Productivity Boom [Newsletter #102]

Why impact still feels delayed

Hello, AI enthusiasts from around the world.

Welcome to this week's newsletter for the AI and the Future of Work podcast.

You might have noticed the hype sweeping across entire industries, as enterprises rush to implement AI and become more productive. Teams are energized. Conversations about how much AI will change our lives can even reach existential levels.

But then something happens: real-life results feel somewhat disappointing. Not much changes.

There’s no revolution. Instead, things look somewhat similar to how they did before.

This week’s conversation explores why that happens and why it has less to do with technology than we might think. Instead, it comes down to how we view work, what we want from it, and how much we’re willing to change. 

Let's dive into this week's highlights! 🚀

🎙️New Episode With Andrew Palmer, Columnist at The Economist

If you were to describe the AI revolution we’re living through, would you call it odd? Many people have used words like exciting, mind-blowing, and fast. 

So why use the word “odd”? 

It’s the best word to describe what Andrew Palmer has seen in London. 

There’s no denying how much AI is reshaping our perspective on work. The conversation around it can turn existential, as it feels like everything we know is being transformed. 

But when we move from theory to practice, Andrew has seen that real-life change is okay. It’s not changing much. In some cases, the results can even feel disappointing. 

But why?

Andrew Palmer is a longtime editor and columnist at The Economist, where he writes the widely popular Bartleby column on work and life.  He also hosts Boss Class, one of The Economist’s most popular podcasts. Its most recent season explored generative AI in the workplace, a topic Andrew approached as a journalist and as a self-described unsophisticated AI user determined to get smarter by doing. 

PeopleReign CEO Dan Turchin sat down with Andrew to learn why incorporating AI into workplaces is so challenging. While the technology is amazing in many ways, enterprises need to first change how people view it. To accomplish this, we need to overcome three barriers.

In this conversation, we discuss:

  • The three distinct barriers to AI adoption, behavioral, technical, and organizational, and why solving one without the others leaves productivity gains stranded. 

  • Why structural reskilling frameworks, like Denmark’s flexicurity model and Singapore’s voucher-based lifelong learning system, offer a more credible response to AI disruption than waiting for policy to catch up. 

  • Why Johnson & Johnson’s “let a thousand flowers bloom” approach to AI experimentation produced a Pareto effect, with 15% of projects generating 85% of value, and what they changed as a result. 

  • Why the AI productivity boom is real at the individual level but fails to show up in aggregate data. Andrew believes the gap is a question of time, not technology. 

  • Why enlightened corporate leadership requires transparency about potential job disruption, adjacent career planning, and letting go of performative optimism. 

  • What work in 2036 might look like, and why Andrew’s most unsettling prediction has nothing to do with jobs and everything to do with privacy. 

Listen to learn more about how Andrew’s personal journey of learning about AI became a catalyst for covering how AI is changing the world, and how challenging this change truly is. 

📖 AI Fun Fact Article

Technology is moving too fast for policymakers to define tech-specific oversight, as great former guest Tom Wheeler, former head of the Federal Communications Commission, writes for the Brookings Institution. Instead, they must focus on oversight based on how the owners of that technology behave. 

Legislating during a technology transition isn’t easy. It is as important as it is risky. The importance lies in protecting the public interest, which requires rules and expectations rather than their absence. Without them, companies act unilaterally in their own interest. 

The risk comes from how lawmakers tend to define the future using what we know today, which limits the agility needed to innovate at breakneck speed. 

This isn’t the first time Congress has attempted to legislate in the middle of a rapid technological transition.  Still, it has been 30 years since the last major legislation, the Telecommunications Act of 1996, signed into law by President Clinton on February 8, 1996. 

Today, AI is reshaping both our economy and society. It has also brought back destabilizing forces, reminding us that the 1996 act is not merely a story about “telecom.” It is a case study in governing a technological transition.

Photo by Chip Somodevilla/Getty Images

PeopleReign CEO Dan Turchin encourages us to read all 1,650 words of Wheeler’s article. If you want to revisit the discussion with Tom from episode 281, you can listen to it here. 

This thoughtful conversation about Tom’s book, Techlash, foreshadowed this important commentary. We’ve seen this theme play out before with interstate highways, broadcast media, telephony, broadband, and most recently, social media platforms. 

Tech moves faster than legislation. We can legislate to ensure power isn’t concentrated in too few hands, or in the wrong hands, but we can’t legislate to slow the pace of innovation. The implications of getting AI right from the perspective of human sovereignty are far more significant than any previous tech shift. 

As Tom points out, and will continue to discuss, it’s the role of legislators, as the voices of the citizens they represent, to ensure the owners of capital, in this case, tokens and prediction engines, behave in ways that benefit society. By society, Dan means us and everyone we care about.

Don’t expect legislators to understand technology. It’s all of our responsibility to hold AI vendors accountable and tell our legislators when and how they’re violating our trust.

Listener Spotlight

In this week’s mailbag, we’re giving a shoutout to Raquel in Boca Raton, FL, whose favorite episode is #243 with Arvind Jain, CEO of AI unicorn Glean, about beating Google in enterprise search.

🎧 You can listen to that excellent episode here!

We always enjoy hearing from listeners. Want to be featured in a future newsletter? Reply to this email and share how you listen and which episode has stayed with you the most.

Worth A Read

AI is getting more efficient.

AI is also demanding more energy. 

Contradictory? Yes, but both are true at the same time. 

The world is changing rapidly to accommodate AI’s energy demand. By 2030, things will look different. 

But how different, exactly? As Sustainable Energy for All explains in this article, there are three critical numbers that describe how this contradiction is happening and what our future might look like. 

Sustainable Energy for All

The three factors are the number of data centers, the capital expenditure from hyperscale tech companies on AI infrastructure, and, last but not least, how many people still won’t have access to a steady electricity supply. 

The way these three numbers add up helps tell the story of what will happen in the coming years.  But they do more than that. They also show how technology and capital are already in motion, while policy is still lagging behind. 

Learn more about these three factors and how they will define our future here.

📣 Share your Thoughts and Leave a Review!

We'd love to hear from you. Your feedback helps us improve and ensures we continue bringing valuable insights to our podcast community. 👇

Until next time, stay curious! 🤔

We want to keep you informed about the latest developments in AI. Here are a few stories from around the world worth reading:

  • An AI platform has helped decode how cells “talk” in certain complex diseases. Learn more about what they are here. 

  • Confident but false is one of the best ways to define AI hallucinations. That confidence is creating real security risks, as you’ll read here. 

  • Meta has unveiled a new ultra-private chat that not even the company sees. The catch? It’s with AI chatbots. Here’s more.

That's a Wrap for This Week!

The conversation around AI often feels exciting. But sometimes, your job still feels the same. Many people feel the same. Today’s conversation with Andrew Palmer focuses on the barriers preventing us from seeing AI’s true potential unfold. 

The reality is that the leap from theoretical ways of using AI to how enterprises implement it in practice hasn’t fully happened. And it’s not because of the technology. 

That doesn’t mean it won’t eventually happen. That’s why we hope this week’s conversation inspires you to view the behavioral and organizational gaps between your team and AI as an opportunity, rather than a hindrance.

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