How the AI backlash could cost investors

AI backlash is mounting. Executives are getting booed. Workers are threatening strikes, and protests are frustrating data center development — but that doesn't seem to worry investors who are raining money on companies in the business. Why it matters: AI hate could slow adoption of the technology, posing an underappreciated risk for investors buying into the current frenzy. The latest: Even SpaceX's prospectus — which is threaded with AI hype — warns that the backlash is a real threat: "If AI technologies are perceived to be significantly disruptive to society, it could lead to governmental or regulatory restrictions or prohibitions on their use, societal concerns or unrest, or, both, any of which could materially and adversely affect our ability to develop, deploy or commercialize AI technologies and execute our business strategy." Community outcry against AI was a key topic in recent meetings Morgan Stanley strategists had with investors recently in the U.S., they wrote in a note Mon