We’ve seen many technical revolutions in this country. The Industrial Revolution, the Fourth Industrial Revolution, the Digital Revolution… we survived all of them and came out the other side thriving and a more prosperous nation because of them. Today feels different. We’re at the beginning stages of what is being called the Intelligence Revolution. This time around we’re not just replacing tools or enhancing productivity, we’re replacing something that was always the exclusive domain of humans – cognitive thought.

In previous industrial revolutions, no matter how sophisticated the advances in machines or tools became, it still took a human brain to oversee and operate. Machines (even computers) were dumb. They have been traditionally limited by inputs, programing, and linearly focused to perform specific tasks. Yes people lost jobs as productivity improved, but people could be retrained to operate the new machines and the resulting productivity created growth and more jobs for those able to retrain and adapt. But very, very soon we will need massively fewer people to operate the machines. Why? Because the machines have cognitive, reasoning abilities. We no longer need a brain encased in a meat suit to oversee everything.

I’m generally an optimist and have faith in the human condition to adapt, overcome, and persevere. We’ve done it many times before and managed to build a great nation because of it. Big picture, I believe we’ll adapt to this brave new world and come out the other end better off. BUT… there’s a nasty wrinkle in this that has the potential to throw a monkey wrench in the works and create a decidedly unpleasant future. That unknown variable is speed.

The time estimate of the Industrial Revolution, from initial disruption to maturation was about 150 years. That’s 3-4 generations of workers. In other words, it didn’t happen overnight. There was time to adapt, to see the writing on the wall and retrain for new/different careers. The Intelligence Revolution is projected to take about 40 years – a 3-4x increase in speed. AI is growing at an exponential rate. The physical layer (robots on the factory floor) is expected to reach maturity/status quo in 2035. The cognitive layer (white collar automation) in 2045. In a nutshell, we’re pulling the rug out from under an entire generation of workers overnight.

Why does that matter? The labor force participation rate (working or looking) for 18-35 year olds is 70 million. Of those, 36 million are considered low-moderate skilled (no or some college). We already know that young folks today are not facing the same economic landscape as earlier generations. The purchasing power of $1 in the 80’s would cost $3.93 today. $2.47 in 90’s dollars. Housing costs have skyrocketed, pushing most young folks into high cost rents that they’ll struggle to save enough to achieve home ownership. We’re already sensing that young people feel like the deck is stacked against them and they are very disillusioned by the “establishment”.

Now take that disillusionment and dump a minimum of 10-12 million 18-35 year olds into the unemployment bucket. The current projections say 1 out of 3 people in that age bracket will be displaced in the next 10 years. That’s almost half of the younger population, with low-moderate skills, unable to find a job. How bitter and disillusioned do you think they’ll be? Zero job prospects and pissed that the boomers and Gen Xer’s are happily retiring and living a decent life. This is not a recipe for societal harmony.

It’s hard to estimate, but best guesses put the total number of ANTIFA members in the US at somewhere in the low thousands. Picture the amount of disruption and violence they’ve already been able to create over the last few years with just those limited numbers. Now dump a million new members (a few million?) into that group, angry, frustrated, with zero perceived life options, all organizing, protesting, sowing chaos and violence everywhere. And when the government comes in with a heavy hand to squash the movement… well, that’s how revolutions start.

I don’t know what the answer is. Universal basic income? Massive increases in social welfare programs? A moon-shot type of nationwide retraining program? A complete overhaul of our education system? Even if the system could move fast enough to get ready for what’s coming (the government moving quickly?), the nation is broke. We’re $38 trillion in debt. Social security is insolvent in 2032. It seems unlikely we could keep inflation at bay and still find a way to fund some sort of massive nationwide retraining program.

The Intelligence Revolution is neither good nor bad. It’s simply progress, evolution, and inevitable. It’s happening whether you want it or not. I’m honestly not sure what to think about how this will play out other than to say, be very careful about who you elect as our “leaders” moving forward. How our local and federal elected officials react to the changes will dictate everything. I’m not sure if that makes me feel better or worse.

“Interesting times are when the map becomes useless and the story begins.”

I described this scenario to AI and asked it to create a quote that resembled an old Chinese proverb. That’s what it came up with and seems pretty spot on.