The annual Berkshire Hathaway Inc. Shareholders Meeting commenced with a bittersweet atmosphere on May 4 with 93-year-old Chairman and CEO Warren Buffett leading the proceedings without longtime partner the late Charlie Munger.

Although Munger's witty comments and banter were missed, Buffett dove headfirst into a lengthy question-and-answer session with shareholders.

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Answering a question regarding his thoughts on generative artificial intelligence (AI) and technology, Buffett addressed the profound impact and uncertainties of AI on society, drawing comparisons to the advent of nuclear technology. Despite his limited understanding of AI, Buffett recognized its significant implications for traditional industries and global stability.

Buffett began by highlighting his lack of expertise in AI but quickly pointed out that this does not diminish its importance or existence. 

“I don’t know anything about AI, but that doesn't mean I deny its existence or importance,” he said, setting the tone for a humble yet insightful discourse on the subject. “Last year, I said we let a genie out of the bottle when we developed nuclear weapons, and that genie has been doing some terrible things lately.” 

He expressed his fear about the uncontrollable nature of such powerful technologies, stating, “The power of that genie scares the hell out of me, and I don't know any way to get the genie back in the bottle, and AI is somewhat similar. It's partway out of the bottle, and it's enormously important.”

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Buffett emphasized that AI, like nuclear technology, could have unintended consequences that are difficult to predict or control. He reflected on historical decisions, such as the atomic bomb tests during World War II, which were seen as necessary at the time but had long-term implications that were not fully understood. "We may wish we'd never seen that genie," he said. 

Sharing a personal experience, Buffett recounted an incident where he saw a digital image of himself so realistic that even his family could not have detected the difference. 

“I was delivering a message that no way came from me,” he said. 

This experience highlighted the potential for AI to create convincing forgeries that could be used in scams, significantly enhancing the risk of fraud. He said scamming has always been part of the "American scene" but now AI takes it to new heights. 

"If I was interested in investing in scamming, this could be the growth industry of all time,” Buffett said, pointing out the dual-edged nature of AI advancements. 

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While AI has the potential for beneficial developments, its capabilities could also be exploited for harmful purposes.

Concluding his thoughts, Buffett expressed a cautious outlook on how society will manage the challenges presented by AI. 

“I don’t have any advice on how the world handles it because I don’t think we know how to handle what we did with the nuclear genie,” he said. “As someone who doesn’t understand a damn thing about it, it has enormous potential for good and enormous potential for harm.” 

This statement captures the essence of the broader societal debate on AI — its ability to significantly benefit humanity while posing serious ethical and security risks.

His comments mirrored a broader societal debate: Can AI be harnessed for good while mitigating its ethical and security concerns? Buffett's address served as a crucial reminder of the need for responsible development and regulation in the advancement of AI.

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