1 00:00:22,394 --> 00:00:23,897 Speaker 1: Hello Habit Mechanics . 2 00:00:23,897 --> 00:00:25,060 It's Dr John Finn here. 3 00:00:25,060 --> 00:00:26,544 Hope you're having a great week so far. 4 00:00:26,544 --> 00:00:31,643 Today I want to talk about the Industrial Revolution and what 5 00:00:31,664 --> 00:00:33,329 we can learn from the Industrial Revolution. 6 00:00:34,533 --> 00:00:42,033 As we get deeper into the AI Revolution, there is, as you 7 00:00:42,094 --> 00:00:48,444 might expect, some, I suppose, what I would call AI denial 8 00:00:48,704 --> 00:00:52,756 narratives saying that this technology is not all that good 9 00:00:52,796 --> 00:00:56,283 and it won't make the changes that people are predicting. 10 00:00:56,283 --> 00:01:00,618 Looking at the tech, looking at the impact it has when people 11 00:01:00,759 --> 00:01:04,036 use it, well, I just cannot agree with those narratives. 12 00:01:04,036 --> 00:01:05,661 They don't make any sense. 13 00:01:05,661 --> 00:01:08,430 When you look at this from a first principle perspective, 14 00:01:10,694 --> 00:01:15,185 what we have for the first time ever is a is competition to 15 00:01:15,224 --> 00:01:16,127 human brain power. 16 00:01:16,127 --> 00:01:18,150 We've never had that before. 17 00:01:18,150 --> 00:01:22,037 We have a technology that's designed to work like our brains 18 00:01:22,037 --> 00:01:26,554 , to run on neural networks, and therefore it can do things that 19 00:01:26,554 --> 00:01:30,567 up until months, sometimes weeks ago, depending on what 20 00:01:30,586 --> 00:01:33,875 tech you're using only human brains could do, and it's 21 00:01:33,895 --> 00:01:36,139 getting smarter and cleverer every day. 22 00:01:36,139 --> 00:01:42,376 It doesn't have a limited um power capacity like our brains, 23 00:01:42,436 --> 00:01:47,021 in the sense of our brains need to shut down every sort of 24 00:01:47,042 --> 00:01:48,343 24-hour cycle, if you like. 25 00:01:48,343 --> 00:01:51,639 You need to get that good seven , eight, nine, sometimes 10 26 00:01:51,699 --> 00:01:54,210 hours or more sleep to really recharge the brain battery. 27 00:01:54,210 --> 00:01:59,281 The AI neural networks can be running 24 7. 28 00:01:59,281 --> 00:02:04,171 So the tech is real and it is going to make a massive impact. 29 00:02:04,171 --> 00:02:05,437 I've just no doubt about that. 30 00:02:06,449 --> 00:02:09,901 And last week I was spending some time in London and I popped 31 00:02:09,901 --> 00:02:14,972 into the National Portrait Gallery and I was looking 32 00:02:15,032 --> 00:02:17,413 actually at the section in the Portrait Gallery which shows the 33 00:02:17,413 --> 00:02:24,740 scientists, the industrialists, the industrialists, the 34 00:02:24,800 --> 00:02:30,004 inventors that essentially drove the industrial revolution in 35 00:02:30,204 --> 00:02:32,927 England and Scotland and Great Britain. 36 00:02:32,927 --> 00:02:49,235 And there's some striking parallels between what happened 37 00:02:49,254 --> 00:02:51,038 in the industrial revolution and what is happening now. 38 00:02:51,038 --> 00:02:52,200 The difference is it's happening now at a speed that I 39 00:02:52,240 --> 00:02:56,093 don't think anyone was even predicting six months ago, but 40 00:02:56,114 --> 00:03:01,778 the industrial revolution probably happened over um a 41 00:03:01,838 --> 00:03:03,103 hundred year period. 42 00:03:03,103 --> 00:03:07,234 If you sort of look at the the rise of the technology, I'm sure 43 00:03:07,234 --> 00:03:10,161 someone will disagree with that , but for me that's broadly how 44 00:03:10,200 --> 00:03:14,114 it looks, how it seems to be also growing up in a. 45 00:03:14,114 --> 00:03:23,784 I grew up in a industrial revolution town and I kind of 46 00:03:23,825 --> 00:03:26,914 I've kind of seen the history of my own town over the period of 47 00:03:26,933 --> 00:03:31,293 time, how it changed, but not with my own eyes, but learning 48 00:03:31,313 --> 00:03:32,257 about the history of the place. 49 00:03:32,257 --> 00:03:36,510 But then if we look at the AI revolution. 50 00:03:36,510 --> 00:03:39,758 It's going to happen maybe over a period of two, three, four, 51 00:03:41,121 --> 00:03:45,754 five years, and some of the things they were predicting 52 00:03:45,776 --> 00:03:47,831 would happen in five years time have already happened. 53 00:03:47,831 --> 00:03:52,402 So there were some predictions about at the start of the month, 54 00:03:52,402 --> 00:03:58,920 of start of the year 2025, that the things that might be 55 00:03:58,939 --> 00:04:01,043 happening in five years, they're already happening. 56 00:04:01,043 --> 00:04:02,972 That's how quickly this is going. 57 00:04:03,955 --> 00:04:07,611 But there's a couple of things that I thought were really 58 00:04:08,251 --> 00:04:08,812 interesting. 59 00:04:08,812 --> 00:04:14,098 Um, and maybe I won't mention them all in this pod, but there 60 00:04:14,117 --> 00:04:18,026 were some economic observations I was reading about from Adam 61 00:04:18,067 --> 00:04:24,851 Smith about why the Industrial Revolution would work from an 62 00:04:24,892 --> 00:04:29,462 efficiency perspective, and you can certainly extrapolate those 63 00:04:29,522 --> 00:04:32,048 insights directly into what we're seeing with agentic AI. 64 00:04:32,048 --> 00:04:40,235 There was, I think, something that I found really interesting 65 00:04:42,901 --> 00:04:46,025 and I'm going to start to cross over to the US now because I've 66 00:04:46,066 --> 00:04:52,273 also been consuming some things around around the US industrial 67 00:04:52,312 --> 00:05:01,706 revolution is that there was a if you're in the UK, you know 68 00:05:01,745 --> 00:05:09,223 Sheffield is the steel city and there was a famous Sheffield 69 00:05:09,264 --> 00:05:16,602 inventor called Henry Bessemer, and Henry Bessemer worked out 70 00:05:16,643 --> 00:05:22,802 how to cure steel if that's the right phrase to basically make 71 00:05:22,841 --> 00:05:28,449 steel faster, and he was employed then by Carnegie right 72 00:05:29,915 --> 00:05:35,062 in Pittsburgh to apologies if I'm getting my geography wrong 73 00:05:35,103 --> 00:05:35,263 here. 74 00:05:35,263 --> 00:05:40,137 I think it was Pittsburgh to make. 75 00:05:40,137 --> 00:05:47,576 Help him to make steel railway lines faster, and basically 76 00:05:48,218 --> 00:05:57,004 Bessemer's technology that he created could make a steel 77 00:05:57,206 --> 00:06:04,848 railway line that normally took a team of men four days to make. 78 00:06:04,848 --> 00:06:08,524 His system could make it in 15 minutes. 79 00:06:08,524 --> 00:06:14,822 15 minutes that's exactly what we're seeing now, but we're 80 00:06:14,841 --> 00:06:17,739 seeing it for cognitive performance and the difference 81 00:06:17,939 --> 00:06:23,593 is when you can start making railway lines so quickly, you're 82 00:06:23,593 --> 00:06:28,189 going to create more jobs because now railway technologies 83 00:06:28,189 --> 00:06:30,115 are scalable and they're more affordable. 84 00:06:30,115 --> 00:06:33,769 So we're going to need more people laying the railway lines. 85 00:06:33,769 --> 00:06:38,321 We're going to need more people creating trains. 86 00:06:38,321 --> 00:06:42,108 There'll be more passengers on the trains right, and commerce 87 00:06:42,148 --> 00:06:43,475 increases all this kind of stuff . 88 00:06:43,475 --> 00:06:47,439 So the industrial revolution was a job generator. 89 00:06:48,480 --> 00:06:50,624 The same is not true with AI. 90 00:06:50,624 --> 00:06:56,050 It will create some different jobs, but those jobs will be 91 00:06:56,090 --> 00:07:01,506 replacing or those jobs will not replace the number of jobs that 92 00:07:01,506 --> 00:07:05,257 AI replaces, if that makes sense and we're already seeing 93 00:07:05,276 --> 00:07:09,870 this, and this morning I read just an article on a technology 94 00:07:09,930 --> 00:07:13,862 website just timelining job losses in the tech sector in the 95 00:07:13,862 --> 00:07:17,499 states, and I think there's about 100 000 so far this year. 96 00:07:17,499 --> 00:07:22,810 Tech jobs have gone um in relation to ai, but it was 97 00:07:22,831 --> 00:07:27,562 showing what businesses were doing with those savings, 98 00:07:27,602 --> 00:07:31,696 because the difference with these job losses are is that the 99 00:07:31,696 --> 00:07:34,040 businesses that are shedding people are not under financial 100 00:07:34,079 --> 00:07:34,420 pressure. 101 00:07:34,420 --> 00:07:38,687 Businesses only normally lose people when they're not 102 00:07:38,927 --> 00:07:40,189 performing financially well. 103 00:07:40,189 --> 00:07:45,465 The businesses that are shedding workers have some of 104 00:07:45,504 --> 00:07:50,257 the strongest financial performance on the planet, and 105 00:07:50,379 --> 00:07:57,367 what this article is showing is is, yes, some people have been 106 00:07:57,387 --> 00:08:00,730 replaced because AI can automate their jobs, fully automate 107 00:08:00,751 --> 00:08:03,761 their jobs, so all the tasks they were previously paid to do, 108 00:08:03,761 --> 00:08:05,125 ai can now automate them. 109 00:08:05,125 --> 00:08:10,540 But they've also and that creates a big saving when you 110 00:08:11,081 --> 00:08:16,670 replace human roles with AI and what they're doing is they're 111 00:08:16,709 --> 00:08:22,865 reinvesting that saving into an AI workforce, if you like to put 112 00:08:22,865 --> 00:08:27,100 it in very simple language, which massively undersells what 113 00:08:27,120 --> 00:08:27,822 those people are doing. 114 00:08:27,822 --> 00:08:32,380 But there is this shift going on and it's not always very 115 00:08:32,420 --> 00:08:34,927 clear to see, because not every business is publicizing what 116 00:08:34,975 --> 00:08:35,395 they're doing. 117 00:08:36,538 --> 00:08:40,249 Um, but yeah, if you're interested in the ai revolution, 118 00:08:40,249 --> 00:08:46,463 how it's going to unfold, why it's happening, I think you know 119 00:08:46,463 --> 00:08:51,454 history is our greatest teacher and the industrial revolution 120 00:08:51,574 --> 00:08:52,798 is so well documented. 121 00:08:52,798 --> 00:08:55,385 I'd encourage you to revisit elements of that. 122 00:08:55,385 --> 00:09:04,983 There are some great figures who played major parts in that 123 00:09:06,827 --> 00:09:07,388 revolution. 124 00:09:07,388 --> 00:09:11,323 So there's lots of interesting things to get into. 125 00:09:11,323 --> 00:09:17,387 But again, we're not here to kind of scare anybody. 126 00:09:17,387 --> 00:09:19,221 We just want to help people to do better. 127 00:09:19,221 --> 00:09:22,635 And the first step to helping people to do better is we need 128 00:09:22,675 --> 00:09:25,263 to realize that this is not fake news. 129 00:09:25,263 --> 00:09:25,745 It's real. 130 00:09:25,745 --> 00:09:27,540 It's not the millennium bug. 131 00:09:27,540 --> 00:09:31,444 It's going to radically change how we work and how we live. 132 00:09:31,444 --> 00:09:37,170 But if we learn how to optimize our brain states, then we will 133 00:09:37,190 --> 00:09:41,205 become AI winners and we'll be able to help others do the same. 134 00:09:41,205 --> 00:09:46,117 And that's why we always say you're only ever one brain state 135 00:09:46,117 --> 00:09:46,738 away. 136 00:09:46,738 --> 00:09:52,628 Or, let me say that again, that's why we always say you're 137 00:09:52,668 --> 00:09:54,763 only ever one brain state. 138 00:09:54,763 --> 00:09:57,978 Habit that's the word I was missing habit away.