Three years after the arrival of ChatGPT, markets and businesses are transforming

Three years after its debut, ChatGPT has become a major force influencing both technological evolution and market trends. The tool came at a time when investors were going through one of the most difficult times since the global financial crisis. Interest in artificial intelligence has quickly exploded, spurring innovation and reviving market sentiment after several years of moderate growth.

Market recovery before and after ChatGPT

Before ChatGPT was revealed on November 30, 2022, the S&P 500 had already reached its lowest point in the post-COVID cycle on October 12, having fallen 25% from its record high earlier this year. A few weeks after the release of the AI ​​tool, the index had regained almost 13% from this low, although it did not reach a new high until January 2024.

After the launch of ChatGPT, other parts of the economy and the business world have experienced significant developments:

• Stock prices have rebounded sharply, and large-scale infrastructure expansion has accelerated across the country.
• Organizations have begun to overhaul their work processes to incorporate new automation capabilities.
• Personnel needs have been profoundly changed, reflecting structural adjustments in companies.

Changes in the economy and labor market

The economic effects of these transformations have not been distributed evenly. Wealth increased for investors and business owners, while workers faced increased hardship. This growing divide is visible in both the business and consumer sectors, showing that the gains from technological innovation do not benefit everyone equally.

Despite these disparities, markets and general economic conditions have begun to show signs of improvement. At the end of 2022, inflation continued to rise and the Federal Reserve continued its rate hikes to slow price growth. This dynamic created a difficult environment for the technology sector, which was particularly fragile at the time.

Several large technology companies underwent significant corrections in the months leading up to the introduction of ChatGPT. Nvidia, Meta and Palantir each lost almost 70% of their value. Apple fell by around 30%, Alphabet by almost 40%, and Amazon saw its share price fall by around 50%.

Subsequently, the S&P 500 began a steady rise, increasing by more than 70% since ChatGPT's release. At the same time, job openings fell by about 30%, highlighting a contrast between a booming stock market and a contracting labor market. According to journalist Derek Thompson, this drop in vacancies has more to do with interest rate adjustments than with AI itself: job postings had already peaked several months before ChatGPT launched.

The growth of OpenAI and the lasting impact of ChatGPT

At the same time, the valuation of OpenAI has increased significantly since the arrival of ChatGPT. The company was worth approximately $14 billion eighteen months before release; it is now estimated to be worth nearly $500 billion, making it one of the largest private companies in the world.

When it was launched, ChatGPT was presented with a succinct announcement:
“We trained a model called ChatGPT that interacts in a conversational way. The dialogue format allows ChatGPT to answer follow-up questions, admit mistakes, challenge incorrect premises, and reject inappropriate requests. We are excited to introduce ChatGPT to gather user feedback and learn its strengths and weaknesses. »

Now entering its fourth year, ChatGPT continues to profoundly influence how advances in artificial intelligence are perceived, integrated and discussed in the global economy.