Speaking at the SXSW conference in Austin, tech investor and entrepreneur Mark Cuban said that AI is not a solution on its own but a tool that can help small businesses grow and gain a competitive edge. He urged entrepreneurs to dedicate time to understanding AI, noting its rapidly evolving nature and transformative potential for new businesses.
Cuban stated that AI has made it easier than ever to start a business, pointing out that entrepreneurs now have access to AI-powered mentors through platforms like Perplexity, Anthropic Claude, ChatGPT, and Gemini. He acknowledged AI’s limitations, including occasional errors and hallucinations, but argued that human mentors and experts are also prone to mistakes. Despite these shortcomings, he said AI can assist with research, emails, and sales calls, streamlining operations for small businesses.
“A lot of creative people think, well, AI is gonna write all the scripts. AI doesn’t know a good story from a bad story. You need to be creative. AI can do the video — trust me, I can create AI-generated videos. They’re still gonna suck.”
— Mark Cuban, SXSW conference in Austin
Cuban cautioned against over-reliance on AI, explaining that while it can amplify existing skills, it cannot replace human creativity. Addressing concerns in creative industries, he noted that AI lacks the ability to discern a good story from a bad one and that while it can generate video content, the quality remains subpar. Cuban stressed that businesses failing to leverage AI risk falling behind competitors who use it to enhance their skills and efficiency.
His remarks underscored AI’s role as a complement to human expertise rather than a replacement, reinforcing its potential to reshape industries while highlighting the need for human judgment and creativity in its application.
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