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Apollo economist says AI has paid off little outside big tech

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Ongoing: AI Cooling

Torsten Slok, chief economist at Apollo Global Management, said in a note published on Saturday that revenue per worker and profit margins are rising for the Magnificent Seven but are flat for the other 493 S&P 500 companies.

Slok said AI has brought "zero payoff" to corporate America outside technology. He also said there are still no signs of AI boosting productivity growth. Companies outside the Magnificent Seven mention AI often on earnings calls, he said, but this is not yet leading to faster revenue growth or real cost savings.

Slok said mainstream companies are starting to treat spending on AI tokens as a cost centre that weighs on margins. He wrote that the AI story will be decided in the S&P 493, not the Magnificent Seven.

The research firm Gartner estimated that more than $3.5 trillion of AI infrastructure spending could be at risk of impairment by 2030. That would happen if AI revenue fails to justify the spending.

Key facts

Who
Apollo economist (economist at Apollo, unnamed in the available text); Torsten Slok (chief economist at Apollo Global Management); Apollo Global Management (investment firm employing Slok); Microsoft (company guiding to $190 billion in 2026 AI capex)
What
According to an Apollo economist, despite massive investment and hype, AI has produced no financial payoff for companies outside the tech sector. Only a headline and description were available.
When
25 October 2026
Where
United States
Status
Reported

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