Since ChatGPT's public release, there has been a renewed sense of hope for limitless growth. Microsoft is capitalizing on this trend, with its stock reaching an all-time high.
However, some erroneously believe AI is entirely disconnected from our planet's limits. In reality, the considerable CPU power required by ChatGPT to process all the queries it receives necessitates substantial electricity for servers and water for cooling down data centers. That's not even taking into account the resources needed to train the underlying models. Everything we do, even in the virtual world, leaves an impact on our lovely planet.
In the realm of AI, growth is often driven by the perceived efficiency - the holy grail of achieving more with less. However, when you consider the boundaries of our planet, this sentiment raises concerns. Why should we always strive to do more? The phrase "with less" might seem appealing, but in the context of the market, it often means less... money, not less natural resources. The boomerang effect of this approach is already hitting us hard : U.S. insurance companies in California are pulling back due to the likely increase in climate-related disasters, over 400 forest fires are ravaging Canada, and the world is experiencing a growing water gap crisis.
The surge in AI, driving market growth while requiring significant water resources for cooling servers and data centers, is ironically contributing to the water scarcity issues facing the world. It's a scary inconsistency: the more we advance in AI and push the growth of the market, the more we exacerbate the very water gap issues we're struggling to resolve globally.
The truth is, we now live in a world where endless growth can no longer be our primary objective. Instead, resilience must take the forefront. Resilience should be at the core of our actions.
This new paradigm of resilience economy would focus on:
Sustainability: to respect and work within the limits of our natural world, striving to minimize negative environmental impacts while ensuring resources are used responsibly and sustainably.
Adaptability: It's about being flexible and responsive to changes, whether they are economic shifts, social transformations, or environmental changes. This includes the ability to recover from shocks such as natural disasters, economic downturns, cyber-attacks, or societal upheavals.
Equity: A resilient economy seeks to reduce inequalities and ensure that economic benefits are shared more evenly across society. It values social cohesion and inclusivity, understanding that a more equitable society is better able to handle challenges and crises.
Future-proof: Rather than seeking short-term profits at the expense of long-term stability, a resilient economy looks ahead to the future. Businesses in such an economy consider how their decisions will impact not just their immediate bottom line, but the health and sustainability of the future generations.
Here it is. Welcome to the era of the resilient economy!
