European companies investing heavily in generative artificial intelligence now face mounting pressure to turn their sizable investments into profits by next year. With record investment sums and high entry costs into the booming AI sector, any delay in achieving profitability could shake stakeholder confidence, especially amid a broader market downturn driven by recession fears.
According to the latest forecasts from strategists at JPMorgan Chase & Co., American companies are on the brink of earnings season, showcasing optimistic prospects for profit growth. This significant development could influence the global financial markets and encourage investors to revisit their strategies.