Berkshire Hathaway’s chairman and CEO, Warren Buffett, and its vice-chair, Charlie Munger, are no fans of Bitcoin and have even referred to it as rat poison. However, they seem to have an even greater concern for the future of technology: artificial intelligence (AI). Recently, they spoke about their apprehensions regarding AI and its potential impact on society.
Buffett expressed his worries about AI’s evolution, hinting that its rapid advancements could have harmful effects on humanity, particularly if we become increasingly reliant on it. Drawing parallels to the creation of powerful weapons like the atom bomb, Buffett hints at the grave consequences that can accompany technological advancements. Munger, too, shares these concerns and is skeptical of the hype surrounding AI. He believes that traditional intelligence is still very effective and cautions against excessive reliance on AI models.
These sentiments echo the concerns of various tech and business experts who are also apprehensive about the accelerated and unsupervised development of AI. Prominent figures such as Apple’s cofounder, OpenAI’s former head of the AI alignment team, and the godfather of AI have also emphasized the need for caution, as AI’s presence increases in the market and the media.
Buffett and Munger also discussed Berkshire Hathaway’s operations, noting a 13% increase in their investment portfolio over the past year, and reaffirmed their confidence in the American economy. Interestingly, Munger called for improved relations and free trade between the US and China, stressing that both countries would benefit and that increasing tensions is “stupid.”
Despite their skepticism of AI and Bitcoin, they acknowledged that it is currently easier for entrepreneurs to break into the business world, given the growing appetite among investors to try new ventures. However, they noted an increase in what they referred to as “dumb” decisions, with entrepreneurs seemingly able to obtain funding more easily than ever.
Despite the serious nature of their discussion, one tongue-in-cheek topic they didn’t touch upon was their opinions on Pepecoin. One thing is clear, though: both Buffett and Munger maintain a healthy skepticism of Bitcoin and other cryptocurrencies as well as a wariness of AI’s unchecked advancement.