JPMorgan Vice Chairman: AI Sector Valuations Remain High, Pullback Expected

JPMorgan Vice Chairman Daniel Pinto believes valuations in the AI sector remain excessively high and expects the industry to see a pullback. Speaking on a panel at the International Financial Leaders Investment Summit hosted by the Hong Kong Monetary Authority, Pinto said he does believe productivity will see a significant boost and that AI will have a major impact. However, he cautioned that the pace of growth should be viewed prudently, because all of the things currently being developed will ultimately have to be paid for. Industries outside AI and everyone else will have to pay these companies trillions of dollars to justify the investments. He said AI companies need to prove that such massive investment scale and current valuations are justified, and the current pace may be a bit too fast. (Sina Finance)