Getting your
Trinity Audioplayer ready...An artificial intelligence backlash is growing, but it is unclear if it is enough to slow momentum.
Several high-profile news events recently took aim at the technology: Pope Leo XIV issued his first encyclical letter warning against unfettered AI growth; protests have broken out across the U.S. against data centers (including a high-profile battle in Utah); and several normally sleepy commencement speeches became flashpoints after boos broke out.
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Gloria Caulfield, a real estate executive, was booed so much for her comments on positive aspects of AI at the University of Central Florida that it became national news, as did a speech by Google ex-CEO Eric Schmidt at the University of Arizona.
Anger toward AI comes during an unprecedented investment in the technology. The main spenders on AI (Meta, Amazon, Google, etc.) are expected to shell out more than $700 billion this year; the U.S. government has dedicated millions toward AI growth; and it is seen as a driving factor in moving nations: Taiwan now has a higher GDP per capita than South Korea and Japan.
Question: **Is backlash enough to slow momentum on artificial intelligence? **
Economists
Caroline Freund, UC San Diego School of Global Policy and Strategy
**NO: **The avalanche has already begun and screaming won’t stop it. Some concerns are justified, but enormous private capital is chasing the innovation and efficiency gains, and Washington’s priority is not regulation but staying ahead of China. The best outcome from the backlash would be stronger guardrails on the most consequential risks, paired with serious investment in retraining and support for workers whose jobs are displaced by the technology.
Kelly Cunningham, San Diego Institute for Economic Research
**NO: **There may be some effect from efforts to restrict AI’s implementation, but the inevitable development of technology will not be halted. Once unleashed, it is nearly impossible to stop the surge of the technology’s emerging capabilities. While it is rational to deliberate theoretical implications, including costs of producing, utilizing and containing it, much like nuclear energy, the power has been unleashed. Considerations should be geared toward how to best structure, harness and monitor its implementation.
Alan Gin, University of San Diego
YES: Artificial intelligence will continue to grow in the future, but the pace of that growth will likely slow. This is partly due to concern about the impact of AI on the labor market and on society. The backlash is not likely to overcome the appeal of productivity gains but could cause some hesitation. But a bigger impact is that concerns about noise, water use, and impact on electricity rates have caused widespread opposition that could slow the spread of AI data centers.
James Hamilton, UC San Diego
**NO: **AI is the future, and nobody can stop it. But we can help each other learn to use it wisely. AI makes mistakes all the time, so anybody who uses AI needs to stay in charge. We need to monitor constantly, evaluate skeptically, and bring in our own wisdom, compassion and humanity in making the final decision. We will always be better at doing that than the machines.
Norm Miller, University of San Diego
**NO: **Current backlash by naïve politicians and fearful citizens may slow the construction of data centers and influence location, but the juggernaut of AI investment will continue somewhere, just as the implementation and experimentation will continue throughout our economy by progressive thinkers. Perhaps hair stylists, surgeons and a few others are immune, for now, but not everyone needs to embrace AI tools for it to continue to raise the bar on everything we do.
David Ely, San Diego State University
**NO: **Falling behind in the race to be the leader in artificial intelligence is a scenario major technology companies want desperately to avoid. So, they will continue to invest heavily in AI technology. IPOs by Anthropic and OpenAI are likely this year. The U.S. government wants the U.S. to be the leader in AI and will support growth. Even if momentum in AI slows in the U.S., it will continue in China and elsewhere.
Ray Major, economist
**NO: **Unfortunately, AI development may have reached a point where it cannot be controlled. Firstly, the technology is evolving faster than the legislative process, making it difficult to control. But more importantly, tech companies have a massive profit motivation and immense lobbying power to push AI. And most importantly, our national security and defense infrastructure are now tied to AI, and the government will hesitate to overregulate tech giants for fear of losing the AI race to political rivals like China.
Executives
Mark Kersey, San Diego County Taxpayers Association
NO: At this point, the potential upside of AI outweighs any backlash risks, and there’s just too much money that’s been invested for momentum to truly stall. However, calls for guardrails will continue to grow as AI becomes a greater part of our society and economy, and that tension will absolutely put pressure on policymakers to act. The trillion-dollar question will be how they respond.
Austin Neudecker, Weave Growth
NO: Concerns around jobs, privacy, resources, economic bifurcation and misinformation are legitimate. While backlash may intensify as the impacts become more substantial, it is unlikely to overcome the transformative economic and geopolitical forces driving adoption. Companies are investing trillions because AI improves productivity, reduces costs and creates competitive advantages. Nations view AI as existential for economic viability and security. I doubt powerful interests can be curtailed, but hope we can compromise on responsible deployment and boundaries.
Chris Van Gorder, Scripps Health
NO: AI is here now and not going away. It’s likely that AI advances might be slowed by government regulation or a governed growth approach. It might also be slowed by a lack of computing infrastructure but not stopped. Advances will continue due to international competition, and despite the economic and job concerns, there are significant opportunities for advances in many areas, including health care and science.
Jamie Moraga, Franklin Revere
NO: Not in the near term. While AI raises significant concerns, including job displacement, increased economic volatility, and a chipping away of our humanity, those risks are not enough to outweigh its momentum. As long as consumers adopt AI and it drives measurable revenue, companies (especially the Magnificent 7) will keep investing in its development and infrastructure. Capital follows growth. If AI stops delivering returns, investment will shift elsewhere. The market will ultimately determine what is (or isn’t) a good investment in AI.
Phil Blair, Manpower
NO: Artificial Intelligence is here to stay. Similar to hybrid working, it came on seemingly suddenly and changed everything. It cannot be put back into the bottle, and we need to adjust to its long-term positive and negative attributes.
Gary London, London Moeder Advisors
NO: The backlash from newly minted college grads and labor, in particular, smacks of failure of imagination. Obviously, we must protect humans and society from AI overreach. But AI is already producing transformational benefits in medicine, science, professional services and throughout the corporate universe. This isn’t something to backlash against. Rather, it is something to adapt to and prosper from. Just as other new, disruptive technologies have accomplished over the many centuries of human existence.
Bob Rauch, R.A. Rauch & Associates
NO: There’s backlash, but it’s unlikely to slow AI’s momentum. Demand for high‑bandwidth memory is exploding, and suppliers can’t add capacity fast enough. That scarcity is driving long‑term supply agreements that lock in pricing and stabilize what has historically been a volatile commodity business. Once enough of those contracts are in place, the industry’s economics shift, and AI development becomes even harder to slow. The capital commitments are already too large to reverse.
Have an idea for an Econometer question? Email me at phillip.molnar@sduniontribune.com. Follow me on Threads: @phillip020