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Apollo note: no AI payoff yet outside tech, charts show
Apollo's Oct. 24 Daily Spark said Mag 7 revenue per worker and profit margins are rising while the S&P 493 is flat, with no sign yet of an AI productivity boost.
- New headline Was: “No Signs of AI Payoff Outside the Tech Sector”
- Our desk filed its story
- apollo.com is now reporting this
Apollo Global Management's Daily Spark said Oct. 24 that, despite large AI investments, the technology has delivered no financial payoff to corporate America outside of tech1.
The note said revenue per worker is rising for the Mag 7 but is flat for the S&P 493, and that profit margins show the same split1.
Apollo also said there are still no signs of AI boosting productivity growth1.
The firm said mainstream corporate America is starting to view token spending as a cost center, and that VC-backed companies are spending more on tokens while mainstream firms do not need the latest model1.
Chart captions in the same post said AI spending is extremely concentrated in a small number of firms, and that circularity in AI shows up in token spending too1.
Apollo said the AI story will be decided in the S&P 493, not the Mag 7, and that so far there is no evidence revenue growth or margins are improving outside the tech sector1.
The Daily Spark is a short data note; it does not publish the underlying series in the page text beyond chart captions1.