AI Disruption: Opportunity, Threat, and the Credit Market Blind Spot

This discussion explores AI as the most consequential and fast-moving technology ever experienced, examining how LLMs are positioned to capture incremental economic value while incumbent businesses — especially those in software and adjacent sectors — face existential disruption. The analysis focuses on why sub-investment grade credit markets, which predominantly represent the incumbent economy, may be poorly compensated for AI-driven disruption risk.