Preparing for the Rise of Artificial General Intelligence

In the late 1990s, Friday nights often meant a trip to Blockbuster, hoping to grab the latest hit movie. Today, that scenario is a distant memory, largely due to the rise of Netflix Inc. (NFLX). Blockbuster failed to recognize its innovative competitor, just as Kodak overlooked the shift to digital photography and BlackBerry missed the smartphone revolution initiated by Apple Inc. (AAPL).

Recently, I had a conversation with Charles Sizemore, Chief Investment Strategist at The Freeport Society. He highlighted how these once-dominant companies were blindsided by technological advances they couldn’t foresee. Now, we face a similar inflection point with the advent of artificial general intelligence (AGI).

The Future of AGI

Today’s AI systems require human prompts to function, whereas AGI will operate autonomously, making independent decisions and potentially surpassing human intelligence. The implications of AGI could be profound—entire industries may transform virtually overnight, displacing millions of jobs. The focus is not on whether AGI will arrive, but on how prepared we will be when it does.

Investing in the Age of AGI

During my discussion with Sizemore, we explored several key topics related to AGI:

• What constitutes AGI and how it differs fundamentally from existing AI systems.
• The anticipated timeline for AGI breakthroughs and potential real-world applications.
• A three-bucket investment strategy focusing on AGI, investing alongside AGI, and stealth AGI opportunities.

Even traditional sectors like agriculture could experience advantages as this technological shift unfolds. The choice is between adapting to thrive in this new era and becoming obsolete like those past giants who failed to change.

Next Steps

For those interested in a deeper understanding of AGI, I encourage you to watch my full conversation with Sizemore linked below.

Regards,

Eric Fry