Bernstein analysts envision a drastically different digital landscape by 2035, where AI transforms human interaction, entertainment, and commerce, with China potentially outpacing the West in AI application development.
Referencing the 2004 film I, Robot, set in 2035, Bernstein suggests that the evolution of AI could see algorithms advancing from reactive recommendation engines to proactive personal assistants, customizing digital experiences at near-zero production cost.
AI recommendation algorithms already know Internet users better than themselves, the note said, predicting that AI could assume the roles currently performed by internet platforms, connecting buyers and sellers, establishing trust, and facilitating fulfillment.
China’s AI Edge
Bernstein argues that AI application layers will likely evolve faster in China than in the West, mirroring China’s dominance in short-form video, e-commerce, and AI-driven recommendation systems. As AI increasingly replaces human labor, China’s population may transition towards more content consumption and digital experiences.
The Rise of AI-Generated Content
Bernstein forecasts a bifurcation in media, where AI-generated content dominates the quantity spectrum while high-quality, human-created content retains a “scarcity premium.” “AI could ingest the Taylor Swift discography and produce something similar. But would it be… Taylor?” the analysts quipped, suggesting that authentic human creativity may remain irreplaceable.
Automation and Societal Impact
The note highlights potential societal shifts as AI automates labor, questioning the fate of millions of workers, from Didi drivers to delivery personnel. Will the 1% use AI to keep the 99% entertained? Bernstein wonders, suggesting that the ultimate luxury in an AI-dominated world could be the human touch.
