[music]

[music]

>> We used to think of the clean energy

economy as being purely about climate

change. And now I think the clean energy

economy is about become looking for

economic opportunity. Who is going to

dominate these clean energy industries

of the future? Who will be purchasing?

Who will be consuming? And who will be

the winners?

>> [music]

[music]

>> It's almost as if from a political point

of view climate change has become an

afterthought or a co-benefit, whereas

the main drivers now I think are energy

security

>> [music]

>> and economic growth.

Many countries have welcomed the decline

in costs for clean energy technology.

And of course China has become a

low-cost producer of solar and electric

vehicles and other clean technologies.

But countries that want to be producers

[music]

are a little bit frustrated by China

because China so completely dominates

the market. That is why I think we're

starting [music] to see

more trade barriers being erected, more

consideration of alternative supply

chains and how to build more diverse

supply chains so [music] that they're

not completely reliant on Chinese

technology.

>> [music]

>> US-China

coordination at least is very important

because these are the two largest

emitters [music] in the world. And so

the two countries need to understand

what each other is doing. And of course

if the United States [music] was

competing in an healthy way with China,

it would give more options to other

countries, more technological options

that other countries could [music]

choose from. And I think many countries

around the world would welcome that.

>> [music]

>> AI-enabled

is a company that has already used AI

for productivity improvements. [music]

They have automated or augmented a set

of discrete tasks. And if you actually

remove AI from these organizations,

they may be less productive. The [music]

AI-first companies, however, have

already rewired certain roles. They've

created new ones. They have changed the

way decisions are made. And [music] if

you actually remove AI from those

companies, they lose some of their

business workflows.

>> [music]

[music]

>> You take two organizations and they

might have the exact same level of

adoption of AI. 80% weekly usage [music]

of AI. Organization A, the employees are

using it to rephrase emails.

Organization B, the employees are token

maxing and they're like really building

agents [music]

that are automating half of their work.

>> [music]

>> AI-native, which I consider the third

level and is described in the WEF's new

report, [music]

is companies whose entire business model

is around AI. And in fact, the product

might be directly related to AI. And if

you remove the AI component, you lose

the complete value proposition. There is

nothing, there is no business anymore.

>> I find that a lot of leaders,

>> [music]

>> they try to govern AI too quickly. They

try to say, "Oh, let's organize

ourselves around AI. Let's redefine all

our jobs. Let's

um create skills that people can share

with each other and benefit from each

other." I think all that stuff is

interesting, but is not required. I feel

like the best transformations start with

you. And what I mean by you is the

leader actually changing themselves and

their skills and showing hands-on to the

rest of the organization how they've

gone from one x productivity to 10 x

productivity themselves.

>> [music]

>> Think about all the geopolitics and the

drama and the stress we've seen in

recent years and the policy

unpredictability, mostly coming out of

the US, but also from elsewhere. What

does that do to um to firms and

consumers? It makes them hold back,

right? Uh maybe we're not going to make

that investment. Maybe we're not going

to make that [music] uh consumption

purchase. So, kind of puts a damper on

economic activity and growth and very

much like a tax. It's not the government

imposing a tax directly, but the

uncertainty is pulling down activity.

Businesses need certainty in order to

make those longer-term investments

[music] and that's where the direction

of policy and everything else needs to

be pretty stable. So, if it's bouncing

around every couple of months, that's

going to cause firms to, [music] you

know, hold back on some of their

investments. And we see the one sector,

data centers, doing really well in the

US, but [music] in many other sectors,

we see kind of subdued investment

appetite. And I think you can trace part

of that at least directly to this

environment of policy uncertainty.

>> [music]

[music]

>> So, yeah, what's the secret sauce? One

thing that's been

>> [music]

>> pretty surprising are labor markets

again. Firms seem to be holding on to

their workers. So, as long as people

have jobs and they think they're going

to continue to have jobs, that's [music]

going to help things.

We've had some big headlines, and to be

honest, they sort of captured the public

imagination. But when you look at the

data, those sectors where we're seeing

the layoffs are not actually very

[music] big. This is kind of early

innings depending on your sports

analogy. So, this is going to be a

multi-year process, but at least

initially, the worst fears about AI

being a job destroyers haven't shown up

yet. Something to watch, a risk for

[music] sure, but not in the data yet.

>> [music]