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The AI revolution has more in common with shipping containerization than the boom unleashed by the microprocessor: diffuse global benefits but few new fortunes

The disruption is real.  It's also predictable.  — ISSUE 04  —  Fortunes are made by entrepreneurs and investors … X: @actaccordingly , @shearic , @joincolossus , @sameer_singh17 , @patrick_oshag , @jaykapoornyc , @realjimchanos , @srewats , @hkanji , @pablomancia , @sgzsh269 , @marekposard , and @datageneralist Bluesky: @jmsdnns , @tedunderwood.me , @luok.ai , and @mrmarketmis . Forums: Hacker News X: @actaccordingly : This is well worth a read. I don't think the AI/shipbuilding analog is a perfect fit, but the conclusions for investors is: the ultimate value creation of AI will be for those companies that adopt the various tools created aggressively to drive revenue growth and cost reductions. Richard Shea / @shearic : Jerry's writing never disappoints! Great read. I'll have to sit with it and re-read. :-) @joincolossus : Legendary venture investor @ganeumann flips the hottest assumption in business: AI's disruption is real, he argues, but the profits won't accrue where the hype says they will. Instead of minting a generation of model builders and app startups, this revolution looks more like [image] Sameer Singh / @sameer_singh17 : Probably one of the best pieces I've read on how to invest in AI Patrick OShaughnessy / @patrick_oshag : When I first started learning about venture, @ganeumann was one of my guides. So smart, and so thoughtful on many topics This is an essay he wrote on how to make money in AI, and it's quite different than many mainstream takes Highly recommend reading and learning from Jerry Jay Kapoor / @jaykapoornyc : @joincolossus @ganeumann Great timing for this! I've been thinking a lot about this recently too — also from the lens of, physically, where value will accrue. Excited to dig in https://x.com/... James Chanos / @realjimchanos : Fascinating read on tech innovation. (Ht: ⁦@ActAccordingly⁩) https://joincolossus.com/... Srivats Sivanandan / @srewats : “Companies whose products rely on achieving high-quality results from somewhat ambiguous information will see increased productivity and higher profits.” @ganeumann thank you for the history lesson, I'm tempted to reread The Box now! https://joincolossus.com/... Hussein Kanji / @hkanji : Consider the extent to which the progress of AI rhymes with the business evolution of containerization https://joincolossus.com/... Pablo Mancía / @pablomancia : For decades, the way to make money was to bet on what the new thing was. Now, you have to bet on the opportunities it opens up. https://joincolossus.com/... Sagar Shah / @sgzsh269 : Thought-provoking article on AI value capture! Interesting parallels to the evolution of the container shipping industry https://joincolossus.com/... Marek Posard / @marekposard : Interesting comparison between AI and shipping containerization https://joincolossus.com/... Fink / @datageneralist : One of the best articles I have read when it comes to investing in AI. https://joincolossus.com/... Bluesky: @jmsdnns : AI Will Not Make You Rich, by @ganeumann.bsky.social  —  I find this essay extremely compelling.  Especially the points made about who got rich from shipping containers.  —  joincolossus.com/article/ai- w... Ted Underwood / @tedunderwood.me : Most investors in container shipping didn't get rich; competition in that space was too efficient.  Money was made rather by companies like IKEA that benefited from the new efficiency.  —  Idk if the analogy to AI is persuasive, but it's interesting.  [embedded post] @luok.ai : Is AI the next gold rush—or just another shipping container moment?  🤔  —  While everyone's hyped about generative AI, history shows not every tech revolution makes investors rich.  —  joincolossus.com/article/ai- w... @mrmarketmis : Excellent article: AI's disruption is real, but the profits won't accrue where the hype says they will  —  “Value will be competed away and captured downstream by customers and savvy incumbents (as it happened in shipping containerization)”  —  “AI Will Not Make You Rich”  —  joincolossus.com/article/ai- w... … Forums: Hacker News : Will AI be the basis of many future industrial fortunes, or a net loser?

Colossus Jerry Neumann

Context & Ripple Effects

Earlier coverage framed early AI adoption as enterprise deployment aimed at cutting jobs, while Apple’s AI-as-a-product-feature approach highlighted integration into existing products rather than a new standalone category. This essay extends that arc by asking where the resulting economic surplus lands.

Its containerization analogy shifts attention from model makers to adopters: firms that can turn ambiguous information into better decisions, lower costs, or more revenue may retain more value than the technology suppliers. That is consistent with the earlier expectation of enterprise-led AI implementation focused on efficiency.

First-order effects

  • AI model builders and application startups face a tougher path to durable profits if capabilities are broadly available and competition pushes their returns down.
  • Incumbent companies that embed AI into information-heavy workflows can capture immediate productivity and margin gains through lower operating costs or higher output.

Second-order effects

  • Buyers gain leverage over AI vendors as tools become less differentiated, increasing pressure on suppliers to prove workflow-specific value rather than sell generic capability.
  • Competition shifts toward distribution, proprietary customer relationships, and operational integration—the assets that determine which adopters can convert AI use into sustained gains.

Third-order effects

  • If this pattern persists, AI’s aggregate benefits may diffuse across many industries even as value capture concentrates in established downstream businesses rather than a large cohort of new AI-native firms.
  • Investment returns would become more dependent on identifying bottleneck workflows and advantaged adopters than on treating model development alone as the primary source of scarcity; the outcome remains contingent on whether models and access actually commoditize.

The trend: AI is increasingly being evaluated as a general-purpose operational input whose economic gains may accrue chiefly to firms with distribution and workflow advantages.

Discussion

  • @actaccordingly @actaccordingly on x
    This is well worth a read. I don't think the AI/shipbuilding analog is a perfect fit, but the conclusions for investors is: the ultimate value creation of AI will be for those companies that adopt the various tools created aggressively to drive revenue growth and cost reductions.
  • @shearic Richard Shea on x
    Jerry's writing never disappoints! Great read. I'll have to sit with it and re-read. :-)
  • @joincolossus @joincolossus on x
    Legendary venture investor @ganeumann flips the hottest assumption in business: AI's disruption is real, he argues, but the profits won't accrue where the hype says they will. Instead of minting a generation of model builders and app startups, this revolution looks more like [ima…
  • @sameer_singh17 Sameer Singh on x
    Probably one of the best pieces I've read on how to invest in AI
  • @patrick_oshag Patrick OShaughnessy on x
    When I first started learning about venture, @ganeumann was one of my guides. So smart, and so thoughtful on many topics This is an essay he wrote on how to make money in AI, and it's quite different than many mainstream takes Highly recommend reading and learning from Jerry
  • @jaykapoornyc Jay Kapoor on x
    @joincolossus @ganeumann Great timing for this! I've been thinking a lot about this recently too — also from the lens of, physically, where value will accrue. Excited to dig in https://x.com/...
  • @realjimchanos James Chanos on x
    Fascinating read on tech innovation. (Ht: ⁦@ActAccordingly⁩) https://joincolossus.com/...
  • @srewats Srivats Sivanandan on x
    “Companies whose products rely on achieving high-quality results from somewhat ambiguous information will see increased productivity and higher profits.” @ganeumann thank you for the history lesson, I'm tempted to reread The Box now! https://joincolossus.com/...
  • @hkanji Hussein Kanji on x
    Consider the extent to which the progress of AI rhymes with the business evolution of containerization https://joincolossus.com/...
  • @pablomancia Pablo Mancía on x
    For decades, the way to make money was to bet on what the new thing was. Now, you have to bet on the opportunities it opens up. https://joincolossus.com/...
  • @sgzsh269 Sagar Shah on x
    Thought-provoking article on AI value capture! Interesting parallels to the evolution of the container shipping industry https://joincolossus.com/...
  • @marekposard Marek Posard on x
    Interesting comparison between AI and shipping containerization https://joincolossus.com/...
  • @datageneralist Fink on x
    One of the best articles I have read when it comes to investing in AI. https://joincolossus.com/...
  • @jmsdnns @jmsdnns on bluesky
    AI Will Not Make You Rich, by @ganeumann.bsky.social  —  I find this essay extremely compelling.  Especially the points made about who got rich from shipping containers.  —  joincolossus.com/article/ai- w...
  • @tedunderwood.me Ted Underwood on bluesky
    Most investors in container shipping didn't get rich; competition in that space was too efficient.  Money was made rather by companies like IKEA that benefited from the new efficiency.  —  Idk if the analogy to AI is persuasive, but it's interesting.  [embedded post]
  • @luok.ai @luok.ai on bluesky
    Is AI the next gold rush—or just another shipping container moment?  🤔  —  While everyone's hyped about generative AI, history shows not every tech revolution makes investors rich.  —  joincolossus.com/article/ai- w...
  • @mrmarketmis @mrmarketmis on bluesky
    Excellent article: AI's disruption is real, but the profits won't accrue where the hype says they will  —  “Value will be competed away and captured downstream by customers and savvy incumbents (as it happened in shipping containerization)”  —  “AI Will Not Make You Rich”  —  joi…