Goldman Sachs CEO: AI boom needs market confidence, warns of slower adoption

Goldman Sachs CEO David Solomon said at the New York Economic Club that as long as global market confidence stays high, the AI boom will continue with ample liquidity. Greed is currently outweighing fear, and Goldman Sachs made $17 billion last year, expecting another strong year.

Goldman is involved in major AI-linked deals: leading SpaceX's IPO underwriting, helping Alphabet complete an $80 billion equity sale, and competing to underwrite Anthropic and OpenAI's IPOs. Both AI firms plan to go public later this year, with Anthropic filing confidential IPO papers.

Solomon warned that AI infrastructure and computing demand won't rise steadily as expected, with tech changes and costs posing hurdles. AI adoption varies by industry: high-margin firms invest heavily, but low-margin ones lack resources. He said a market reversal could happen quickly but doesn't mean a crash is certain.