In the Media

Will generative artificial intelligence (AI) become the next technology bubble? Or is it simply a short-term market adjustment? The rapid development of AI has attracted significant investment, yet many experts are raising alarms about a potential dotcom bubble. Some argue that AI companies are overvalued, with limited actual gains, urging investors to adopt a rational and objective approach to the sector's development.

Are environmental and social (ES) funds really voting in support of their claims? Each year, asset managers vote on various proposals from the companies in their investment portfolio on behalf of fund investors, who expect strong support for ES initiatives from these companies. However, in a recent research conducted by the author, Prof. Roni Michaely, along with Prof. Guillem Calafi-Ordonez, and Prof. Silvina Rubio, a surprising pattern has been identified. These ES funds often support proposals that are expected to pass or fail easily. However, when it comes to close votes—where their decision really matters—they tend to vote against these proposals.

The upcoming US presidential election is poised to be a historic one, with its outcome closely tied to economic performance. Recent events, including the Russia-Ukraine war, soaring inflation, and the US-China tech rivalry, have created a turbulent global landscape. Voters are primarily concerned with economic issues, employment, healthcare, and immigration.

China in 2017 laid out an ambitious plan to turn the Greater Bay Area into a high-tech powerhouse, aiming to rival Silicon Valley and Tokyo Bay. With 2035 set as the target, is the region on track to meet those goals, or are there hurdles slowing progress? Professor Heiwai Tang, the director of Asia Global Institute, discussed the prospects and challenges of the Greater Bay Area amid growing geopolitical rivalry in the region.

The latest "Asia's Top 500 Brands" list was unveiled on the 25th in Hong Kong, with Toyota, State Grid, and Industrial and Commercial Bank ranking in the top three. China has the most entries among the countries. Dr. Sara Kim, a marketing professor at the HKU Business School, stated that Asian brands are having a transformative impact on the global economic landscape.

The gig economy is rapidly growing, raising critical questions for policymakers about balancing workers' rights, business interests, and technological advancement. By 2027, gig workers are expected to make up 51% of the US workforce. Hong Kong faces similar challenges, necessitating improvements in its traditional labour protection system.

Since ChatGPT was introduced, large language models (LLMs) have quickly become a focus in the global tech competition. LLMs are being applied in various fields, presenting ample opportunities for AI development. The U.S. currently leads in technology development and innovation, with its models excelling at the technological forefront. In contrast, Chinese models focus on optimizing for local languages and practical applications. Striking a balance of competition and cooperation between the two countries will be crucial in the coming years.

Over the past 5 years, the US government's fiscal deficit has persistently exceeded $1 trillion, positioning the country among global leaders in debt levels. Economists and international institutions are concerned that the government's fiscal deficit has consistently exceeded 3% of GDP. Currently, US public debt stands close to 100% of GDP, projected to rise to 116% by 2034, posing a significant burden on the country's long-term economic development.

Hong Kong sailor Russell Aylsworth expresses gratitude for the support from the public and hopes that this Olympics will inspire more young people to participate in sailing.