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netcantoday at 10:46 AM0 repliesview on HN

Ok... but this just generalizes into the "known things" type.

Whether the reason of strategic (like your example), internal politics, insufficient knowledge.... The point is that there is a local equilibrium, and most mature firms are at this equilibrium.

More resources via Ai, at first order, goes after that diminishing returns part of the curve... which is a cliff especially for highly resourced firms topping the S&P500.

A lot of Ai-optimist:s " mental model" of the economy do not account for this stuff at all.

"Save time/money" outcomes are not similar at all to "make more stuff" outcomes. Firing employees does freeze up labour... but reutilizing this labour is non-trivial... as this article demonstrates quite well.