September 2, 2026

Elon Musk Says 'Riptide Is Already Underway' as Cathie Wood Bets on Double-Digit US Growth Fueled by AI

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Ark Invest CEO Cathie Wood said Sunday that artificial intelligence adoption is accelerating so quickly that most people are failing to grasp its true scale, adding that the technology could soon push real GDP growth into double digits.

‘Many Clients and Companies Simply Do Not Comprehend’

“When I try and explain that tokens inferenced increased 25-fold in a year and are multiplying exponentially, cascading through the economy, and are likely to push real GDP growth per year toward double digit territory, many clients and companies simply do not comprehend,” Wood said in a post on X.

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Wood was responding to a post from Elon Musk, who declared that “the AI riptide is already underway.”

When I try and explain that tokens inferenced increased 25-fold in a year and are multiplying exponentially, cascading through the economy, and are likely to push real GDP growth per year toward double digit territory, many clients and companies simply do not comprehend. https://t.co/JlJ2vLXEwz

— Cathie Wood (@CathieDWood) August 29, 2026

In ARK’s Big Ideas 2026 report earlier this year, the firm noted that demand for compute surged 25-fold, driven by a collapse in unit inference costs of over 90%, spurring rapid corporate adoption.

How the Actual Numbers Compare

Growth in the U.S. economy slowed to a 1.5% annualized pace in the second quarter of 2026, down from 2.1% in the prior quarter.

Earlier this year, Wood projected real GDP growth surging toward 5% in a “Goldilocks” scenario for 2026, saying productivity-driven growth from AI tends to lower inflation rather than raise it.

A Warning for Traditional Businesses

Musk’s post shared a comment from Brett Winton, ARK Invest’s chief futurist, who warned that the same forces driving AI’s growth could hurt companies outside the sector entirely.

Winton said the “quick payback periods and extraordinarily high IRR for AI infrastructure, even at monumental scale,” will push up the broader cost of capital “sufficient to push many traditional businesses into the abyss, even those without obvious direct AI counter-exposure.”

a surprise I think is coming

the quick payback periods and extraordinarily high IRR for AI infrastructure, even at monumental scale, will push up cost of capital sufficient to push many traditional businesses into the abyss, even those without obvious direct AI counter-exposure

— Brett Winton (@wintonARK) August 28, 2026

In June, JPMorgan projected that AI-related debt financing could reach $4.1 trillion through 2030, with total AI capital expenditures climbing to $5.5 trillion over the same period.

Nvidia Corp. has reportedly signaled server price increases of over 15% heading into early 2027 due to soaring memory costs from Samsung Electronics, SK Hynix Inc., and Micron Technology, Inc..

Benzinga edge rankings indicate Nvidia’s stock has a Momentum score in the 79th percentile and a Growth score in the 98th percentile.

Photo courtesy: IAB Studio on Shutterstock.com

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Elon Musk Says &#039;Riptide Is Already Underway&#039; as Cathie Wood Bets on Double-Digit US Growth Fueled by AI