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by Brian Shilhavy
Editor, Health Impact News

I have been a minority voice since the end of 2022 stating that investment in AI was a huge financial bubble for the Tech sector, and specifically that Elon Musk was a huckster trying to sell science fiction for the future which was never going to come true.

Today, I would guess that at least 50% of the investors in “Big” Tech and Tesla in specific now agree with me, if not the majority. It is truly hard to comprehend why anyone would continue to invest in the hype of Elon Musk’s AI promises, which continue to fail. It reveals a cult-like faith in Musk among investors that defies the evidence that can be so clearly seen by many others.

Earlier this month The Information technology publication published an explosive article revealing that Tesla’s own executives, referred to as “lieutenants”, had warned Musk that his ideas for a Robotaxi would lose money and not be profitable. Instead, they urged him to pursue the goal of making Tesla cars more affordable for the masses.

But Musk ignored them, and invested more in AI against their advice.

How Elon Musk Stopped Loving Cars and Left Tesla in the Lurch

Inside Tesla, Musk’s lieutenants told him the Robotaxi he championed stood to lose money. He ignored them.

Excerpts:

Early last year, Elon Musk decided that Tesla wouldn’t be an electric vehicle company anymore. It would keep making cars, but not the new, mass-market model that investors, many Tesla fans and his senior advisers were asking for.

Instead, he would bet the company on artificial intelligence products like the Robotaxi and humanoid robots. He rejected internal studies produced by his lieutenants who questioned the prospects for the Robotaxi and pushed for the new vehicle—a $25,000 crossover SUV for families.

The internal analysis, which hasn’t been previously reported, painted a potentially grim picture for the Robotaxi, a driverless EV without a steering wheel, pedals or rear-view mirrors.

Musk believed Tesla could sell millions of Robotaxis and earn massive profits.

Instead, the analysis showed Robotaxi sales to individuals and for ride sharing could be only in the hundreds of thousands and that the vehicle might never be profitable.

The Model 2, as the affordable EV was known outside the company, could sell millions of vehicles for years to come, his lieutenants told him, according to people familiar with the discussions. It would be a hedge against potential big losses on the Robotaxi and would help bankroll Musk’s AI ambitions, they said. The two vehicles would even be built on the same platform.

Musk said no.

People who know and have worked with Musk say they understand why he has lost interest in EVs. In Musk’s eyes, they say, his primary goal of jump-starting the EV industry is done. What’s left are mostly more mundane matters, such as pumping out new models and massaging the sensibilities of Wall Street analysts.

“His algorithm is, ‘What’s the next big thing I can do?’”

said Gene Berdichevsky, the seventh employee Tesla hired in the 2000s, and now CEO of silicon anode developer Sila Nanotechnologies.

“I think he’s motivated by doing big, impactful things.”

Tesla sales, which grew an average of 50% a year from 2019 to 2023, fell 1% last year. The decline accelerated to 13% in the first quarter, and several analysts have forecast that Tesla deliveries will shrink again this year.

The company’s stock is down almost 50% since its recent peak in December and, given Tesla’s high valuation, could fall further if sales don’t rebound. (Full article – subscription needed.)

A report just published today showed that of the top 10 cars sold in the U.S. with the fastest rising insurance costs, the top 3 are all Teslas. See:

3 Tesla models top the list of cars with the fastest-rising insurance costs

So while the MAGA crowd who adores Musk claims that Tesla sales are falling because of Musk’s newfound “conservative values” that he is being punished for, the fact is that Tesla cars have been rapidly declining in both technology and affordability for a couple of years now, as the Chinese now take the lead in EV car production.

If you have not yet viewed this video that I published a few weeks ago showing how Tesla compares with a different EV car when it comes to its “AI Intelligence”, this is a great demonstration in the REAL world, not the Elon Musk FAKE world of the future that he hypes up so much.

Tesla is not the only American technology company that is facing economic disaster. All of the “Magnificent 7” technology companies are now in real danger of crashing, especially the computer chip company Nvidia.

NVIDIA’S ARTIFICIAL EMPIRE IS NOW CRUMBLING

The dominoes are now falling with brutal efficiency. In one devastating week, the U.S. government severed Nvidia’s China revenue artery while TSMC plunged a 30% cost dagger into its margins.

This isn’t coincidence – it’s causation.

I have warned since 2024 that Nvidia’s “AI supremacy” was a carefully crafted mirage. The H20 ban with only a ~$5bn write-off loss announced by the company as a consequence proves what I exposed for years, the last time in “THE NVIDIA FAKE AI NARRATIVE IS OFFICIALLY OVER” – their China strategy was always a shell game.

TSMC’s price hike confirms what I address in “THE REAL ERA OF AI BEGINS, THE ONE OF THE AI CHARLATANS ENDS” about shifting power dynamics.

Together, they expose the ugly truth: Nvidia’s record margins weren’t won through innovation but through supply manipulation and geopolitical gambling. (Full article.)

It has now been about two and half years since the first LLM (Large Language Model) AI was introduced with OpenAI’s ChatGPT through Microsoft in November of 2022.

$Trillions have been invested into LLM AI models since then, and as of today, they STILL hallucinate and give wrong information, causing havoc on those who have incorporated it into the REAL world.

Here are some examples.

LLMs can’t stop making up software dependencies and sabotaging everything

The rise of LLM-powered code generation tools is reshaping how developers write software – and introducing new risks to the software supply chain in the process.

These AI coding assistants, like large language models in general, have a habit of hallucinating. They suggest code that incorporates software packages that don’t exist.

As we noted in March and September last year, security and academic researchers have found that AI code assistants invent package names. In a recent study, researchers found that about 5.2 percent of package suggestions from commercial models didn’t exist, compared to 21.7 percent from open source or openly available models.

Running that code should result in an error when importing a non-existent package. But miscreants have realized that they can hijack the hallucination for their own benefit.

All that’s required is to create a malicious software package under a hallucinated package name and then upload the bad package to a package registry or index like PyPI or npm for distribution.

Thereafter, when an AI code assistant re-hallucinates the co-opted name, the process of installing dependencies and executing the code will run the malware. (Full article.)

AI models still struggle to debug software, Microsoft study shows

AI models from OpenAI, Anthropic, and other top AI labs are increasingly being used to assist with programming tasks. Google CEO Sundar Pichai said in October that 25% of new code at the company is generated by AI, and Meta CEO Mark Zuckerberg has expressed ambitions to widely deploy AI coding models within the social media giant.

Yet even some of the best models today struggle to resolve software bugs that wouldn’t trip up experienced devs.

A new study from Microsoft Research, Microsoft’s R&D division, reveals that models, including Anthropic’s Claude 3.7 Sonnet and OpenAI’s o3-mini, fail to debug many issues in a software development benchmark called SWE-bench Lite. The results are a sobering reminder that, despite bold pronouncements from companies like OpenAI, AI is still no match for human experts in domains such as coding. (Source.)

An AI Customer Service Chatbot Made Up a Company Policy—and Created a Mess

On Monday, a developer using the popular AI-powered code editor Cursor noticed something strange: Switching between machines instantly logged them out, breaking a common workflow for programmers who use multiple devices.

When the user contacted Cursor support, an agent named “Sam” told them it was expected behavior under a new policy.

But no such policy existed, and Sam was a bot.

The AI model made the policy up, sparking a wave of complaints and cancellation threats documented on Hacker News and Reddit.

This marks the latest instance of AI confabulations (also called “hallucinations”) causing potential business damage.

Confabulations are a type of “creative gap-filling” response where AI models invent plausible-sounding but false information. Instead of admitting uncertainty, AI models often prioritize creating plausible, confident responses, even when that means manufacturing information from scratch. (Full article.)

Others are now just beginning to wake up and realize that when they use an AI program like ChatGPT, they are handing over almost ALL of their personal data, including where they go, who they meet, everything they do, etc., to these AI companies.

ChatGPT is referring to users by their names unprompted, and some find it ‘creepy’

Some ChatGPT users have noticed a strange phenomenon recently: Occasionally, the chatbot refers to them by name as it reasons through problems. That wasn’t the default behavior previously, and several users claim ChatGPT is mentioning their names despite never having been told what to call them.

One user, software developer and AI enthusiast Simon Willison, called the feature “creepy and unnecessary.” Another developer, Nick Dobos, said he “hated it.” A cursory search of X turns up scores of users confused by — and wary of — ChatGPT’s first-name basis behavior.

“It’s like a teacher keeps calling my name, LOL,” wrote one user. “Yeah, I don’t like it.”

Some users on X say ChatGPT began calling them by their names even though they’d disabled memory and related personalization settings.

In any event, the blowback illustrates the uncanny valley OpenAI might struggle to overcome in its efforts to make ChatGPT more “personal” for the people who use it.

Last week, the company’s CEO, Sam Altman, hinted at AI systems that “get to know you over your life” to become “extremely useful and personalized.”

But judging by this latest wave of reactions, not everyone’s sold on the idea. (Full article.)

As I reported at the beginning of this year (2025), China now leads the U.S. in 57 of 64 critical technologies. See:

China Now Dominates the U.S. in 57 of 64 Critical Technologies as U.S. Stands on the Brink of Economic Collapse with the AI Bubble

Trump wants to punish China with tariffs to try and correct this imbalance, but to do so, he needs to destroy the U.S. economy in the process, something he actually admits to.

It will take some time yet to see the full devastation of these policies, but it is coming, and most Americans have no idea yet what the full effects of the coming economic collapse are going be, as Trump tries to roll out his own version of a New World Order.

Commit your way to the LORD; trust in him and he will do this: He will make your righteousness shine like the dawn, the justice of your cause like the noonday sun.

Be still before the LORD and wait patiently for him; do not fret when men succeed in their ways, when they carry out their wicked schemes.

Refrain from anger and turn from wrath; do not fret—it leads only to evil. For evil men will be cut off, but those who hope in the LORD will inherit the land.

A little while, and the wicked will be no more; though you look for them, they will not be found.

But the meek will inherit the land and enjoy great peace.

The wicked plot against the righteous and gnash their teeth at them; but the Lord laughs at the wicked, for he knows their day is coming. (Psalms 37:5-13)

Comment on this article at HealthImpactNews.com.

This article was written by Human Superior Intelligence (HSI)

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Exposing the Christian Zionism Cult

Insider Exposes Freemasonry as the World’s Oldest Secret Religion and the Luciferian Plans for The New World Order

Identifying the Luciferian Globalists Implementing the New World Order – Who are the “Jews”?

The Brain Myth: Your Intellect and Thoughts Originate in Your Heart, Not Your Brain

Fact Check: “Christianity” and the Christian Religion is NOT Found in the Bible – The Person Jesus Christ Is