2 July 2024 | 9:02AM EDT

AI Adoption Tracker

2024Q2: Hardware Investment Grows, Barriers to

Profitable Use Remain (Kodnani)
n We update our quarterly AI adoption tracker through June. We launched the Jan Hatzius
+1(212)902-0394 | [email protected]
tracker earlier this year in our report on the state of the AI transition. Goldman Sachs & Co. LLC

Joseph Briggs
n AI-related investment growth remains strong, particularly for semiconductor +1(212)902-2163 |
[email protected]
firms, where equity markets expect revenue growth of around 50% from current Goldman Sachs & Co. LLC

levels by the end of 2025. Since the release of ChatGPT, equity markets have Devesh Kodnani
+1(917)343-9216 |
upgraded their 2025 revenue projections for AI hardware enablers by $330bn (or [email protected]
Goldman Sachs & Co. LLC
1.2% of US GDP), up from $250bn a quarter ago. These upgrades are expected
Giovanni Pierdomenico
to broaden from semiconductor and cloud firms to the broader datacenter stack +44(20)7051-6807 |
[email protected]
For the exclusive use of [email protected]

(e.g., memory and networking firms) by 2025H2. While AI-related investment is Goldman Sachs International

not yet visible in national accounts data, manufacturers’ shipments for AI-related
components have continued to pick up in the US and Japan over the past
quarter.
n AI adoption by firms remains modest, with only 5% of US firms reporting
currently using AI to produce goods or services. While this share increased only
marginally (+0.2pp) since a quarter ago, arts and entertainment, professional,
and retail trade firms reported higher adoption rates of at least 1pp while
information, administrative, and educational firms reported lower adoption rates
of at least 1pp. Cloud-related firms report the highest expected increase in AI
adoption over the next six months. Industry surveys released over the past

9a0c3bf0514c11deab0a0014c2408514
quarter suggest that while a large share of small businesses are experimenting
with AI, most have yet to define a clear business use case or employee training
programs, and many still have concerns over data compatibility and privacy.
n AI’s impact on the labor market has been very modest thus far, with AI-related
job openings ticking up as a share of total new jobs, AI-related layoff
announcements remaining muted over the past few months, and the
unemployment rate for the most AI-exposed positions ticking down slightly in
recent months relative to the broader unemployment rate.

Investors should consider this report as only a single factor in making their investment decision. For Reg AC
certification and other important disclosures, see the Disclosure Appendix, or go to
www.gs.com/research/hedge.html.
 Goldman Sachs AI Adoption Tracker

2024Q2: Hardware Investment Grows, Barriers to Profitable Use Remain

AI-Related Investment

Exhibit 1: AI-Enabled Company Revenues Have Risen Sharply, Particularly Among Semiconductor Firms Where They Are Expected to Rise
Nearly 50% Further by the End of 2025
For the exclusive use of [email protected]

Source: FactSet, Goldman Sachs Global Investment Research

Exhibit 2: Revenue Forecast Revisions Now Imply a $330bn Upgrade to Annual Average Revenues for AI
Hardware Enablers by 2025, Up From $250bn a Quarter Ago

9a0c3bf0514c11deab0a0014c2408514

Source: FactSet, Goldman Sachs Global Investment Research

2 July 2024 2
 Goldman Sachs AI Adoption Tracker

Exhibit 3: The Upgrade to Hardware Investment Is Primarily Driven by Increased Investment in

Semiconductors and Cloud, Although Datacenter Components Are Expected to Play a Larger Role by
2025H2
For the exclusive use of [email protected]

Source: FactSet, Goldman Sachs Global Investment Research

Exhibit 4: No Visible Inflection in Investment Growth in National Accounts Data…

Source: Haver Analytics, Goldman Sachs Global Investment Research 9a0c3bf0514c11deab0a0014c2408514

2 July 2024 3
 Goldman Sachs AI Adoption Tracker

Exhibit 5: …But Manufacturers’ Shipments for AI-Related Components Have Picked Up Further, Particularly Among Computing and Storage
Equipment in the US and in Japan
For the exclusive use of [email protected]

Source: Haver Analytics, Goldman Sachs Global Investment Research

9a0c3bf0514c11deab0a0014c2408514

2 July 2024 4
 Goldman Sachs AI Adoption Tracker

AI Adoption by Firms

Exhibit 6: Approximately 5% of US Firms Are Using Generative AI to Produce Goods and Services, Although
the Share Is Much Higher Among Information Service Companies

0 5 10 15 20 25
Information
Professional, Scientific, and Technical
Educational Services
Finance and Insurance
Real Estate and Rental
Arts, Entertainment, and Recreation
All Industries
Health Care and Social Assistance
Admin/Support/Waste Management
Retail Trade
Manufacturing
Other Services
Wholesale Trade Share of US Firms Using AI by Sector (%)
Transportation and Warehousing October 2023
Accommodation and Food Services June 2024
Construction Next Six Months

0 5 10 15 20 25
For the exclusive use of [email protected]

Source: Census Bureau, Goldman Sachs Global Investment Research

Exhibit 7: The Share of Firms Using AI for Production Ticked Up Just 0.2pp Over the Past Quarter, With
Increases of at Least 1pp Among Arts and Entertainment, Professional, and Retail Trade Firms and Declines
of at Least 1pp Among Information, Administrative, and Educational Firms

-2.0 -1.5 -1.0 -0.5 0.0 0.5 1.0 1.5 2.0

Arts, Entertainment, and Recreation
Professional, Scientific, and Technical
Retail Trade
Transportation and Warehousing
Real Estate and Rental

9a0c3bf0514c11deab0a0014c2408514
Health Care and Social Assistance
All Industries
Other Services
Accommodation and Food Services
Manufacturing
Construction
Finance and Insurance Change in Share
Wholesale Trade of Firms Using AI Since
Educational Services Quarter Ago, by Sector
Admin/Support/Waste Management (Percentage Points)
Information
-2.0 -1.5 -1.0 -0.5 0.0 0.5 1.0 1.5 2.0

Source: Census Bureau, Goldman Sachs Global Investment Research

2 July 2024 5
 Goldman Sachs AI Adoption Tracker

Exhibit 8: Higher Adoption Rates Among Internet, Information, Movie Production, and Professional Firms

0 10 20 30 40
Computing/Data/Web Hosting
Web Search/Libraries/Archives
Information
Motion Picture and Sound Recording
Professional, Scientific, and Technical
Securities/Commodities/Financial
Educational Services
Telecommunications
Retail Trade
Computer and Electronic Manufacturing
Real Estate Share of US Firms Using AI,
Performing Arts/Spectator Sports Top 15 Subsectors (%)
Beverage and Tobacco Manufacturing October 2023
Insurance Carriers and Related June 2024
Ambulatory Health Services Next Six Months
0 10 20 30 40

Source: Census Bureau, Goldman Sachs Global Investment Research

For the exclusive use of [email protected]

Exhibit 9: Across Subsectors, Cloud-Related Firms Most Expect to Adopt AI Within the Next Six Months

0 2 4 6 8 10
Computing/Data/Web Hosting
Web Search/Libraries/Archives
Securities/Commodities/Financial
Motion Picture and Sound Recording
Educational Services
Information
Professional, Scientific, and Technical
Credit Intermediation and Related
Insurance Carriers and Related
Administrative and Support

9a0c3bf0514c11deab0a0014c2408514
Real Estate
Ambulatory Health Services Expected Change in Share
Retail Trade of Firms Using AI Over Next
Beverage and Tobacco Manufacturing
Six Months, Top 15 Subsectors
(Percentage Points)
Performing Arts/Spectator Sports
0 2 4 6 8 10 12 14 16 18 20

Source: Census Bureau, Goldman Sachs Global Investment Research

2 July 2024 6
 Goldman Sachs AI Adoption Tracker

Exhibit 10: Industry Surveys Released Over the Past Quarter Suggest That a Large Share of Small Businesses Are Experimenting With AI but
That Most Have Yet to Define a Clear Business Use Case or Employee Training Programs, and Many Still Have Concerns Over Data
Compatibility and Privacy
Source Date Current Adoption Future Adoption

More than 60% of surveyed companies see generative AI as a top three

priority over the next two years, but only 35% have a clearly defined vision
87% of surveyed companies are alrady developing, piloting, or have
for how they will create business value from generative AI. The top cited
deployed generative AI in some capacity, with most early deployments in
Bain & Company June 2024 reasons preventing surveyed companies from deploying generative AI faster
software code development, customer service, marketing and sales, and
are that the company's tech platform is not ready to support AI applications,
product differentiation.
the company lacks in-house expertise or resources, and the company's data
is not ready to be processed by AI models.

52% of small business owners expect that AI will enable them to increase or
Two-thirds of small business owners invested in AI over the past year, and retain their employee heacount. However, 76% of owners don't plan to offer
84% of Gen Z small business owners did. 41% of small businesses expect an AI training course for employees in the coming year. The leading areas of
Cox Business May 2024
AI to help their organizations increase profitability and 33% expect AI to business where owners are already using AI (marketing, sales, customer
improve their customer experience. service) are the same areas that they plan to continue their usage of AI in
2024.

58% of small business owners plan to invest in AI over the next year. Small
business owners under 35 have a more positive view of AI (79%) than small
33% of small business owners are early adopters of new AI technologies. Of
business owners aged 65 or older (53%). Businesses with 100+ employees
Bipartisan Policy those, 83% say it has been helpful in improving systems, increasing
March 2024 are significantly more likely to plan investments in AI than those with fewer
Center efficiency, and producing content, while 54% say it has had a positive impact
than 10 employees. The biggest barriers to AI use among small businesses
on business growth.
include the cost of AI tools (55%), uncertainty over possible government
regulation (50%), and data privacy (49%).

Over the next three years, a much larger share of CIOs (50%) intend to
In the coming year, 30% of CIOs do not expect to spend on generative AI spend at least 5% of IT budgets on generative AI products, with 10%
Goldman Sachs applications and 58% expect to spend 1-5% of their IT budgets on them. On intending to spend 15-30% of their IT budgets on them. At this horizon, CIOs
March 2024
Equity Research average, CIOs expect to spend 3% of IT budgets on generative AI products expect to spend 7% of IT budgets on average on generative AI. Usage of
For the exclusive use of [email protected]

during this period. Microsoft Office Copilot in particular is expected to grow from 3% of users to
13% of users during this time.

73% of young company leaders believe AI will be transformative for their

58% of businesses are increasing their investments into AI. 64% are
business, but the vast majority of those which have adopted are still in the
PwC March 2024 concerned about cybersecurity risk from AI, and roughly half are concerned
exploration phase, with only 7% of businesses having AI applications actively
about misinformation and legal and reputational risk.
deployed in their operations.

67% of technology professionals say that their companies are currently using Most adopters are still at the proof-of-concept or product development
generative AI, with the majority of users (54%) expecting that AI adoption will phase, with only 18% of total respondents already having AI applications in
O'Reilly November 2023 lead to productivity improvements while only 4% expect lower headcounts. production. The top cited barriers to implementation are identifying
The most common cited use cases are programming (77%), data analysis appropriate use cases (53%) and a combination of legal issues, risk, and
(70%), and customer-facing applications (65%). compliance (38%).

33% of workers say AI will replace elements of their job in a positive way
56% of workers report using AI tools for work tasks, with 46% saying (e.g., freing up time for other tasks), while just 4% say AI will replace
Conference management is fully aware of their use another 38% saying management is elements of their job in a negative way (e.g., threatening their jobs). 57% of
September 2023
Board only partially aware or unaware. Most workers (55%) say the quality of AI workers say their organization either does not have an AI policy or that one is
output matches that of an experienced worker or better. currently under development, compared to just 26% who say their
organization does have one.

9a0c3bf0514c11deab0a0014c2408514
71% of businesses (sample skewed to technology companies) say their
companies are already using AI in some capacity, with 92% of AI 52% of businesses report that a lack of skilled workers is the biggest barrier
Microsoft September 2023
deployments taking under one year. The average AI investment takes 14 to implement and scale AI.
months to begin to realize returns.

28% of North American respondents say they regularly use generative AI

tools for work, compared to 20% in developing markets. Among AI "top
The most commonly cited risks for AI adoption are inaccuracy (56%),
McKinsey & performers" (organizations where 20% of EBIT are attributable to AI use),
August 2023 cybersecurity (53%), and IP infringement (46%), though only a minority of
Company firms are less likely to cite AI as intended for cost cutting (19%) than among
firms say they are actively working to address those risks.
all respondents (33%) and more likely to cite potential revenue and value
upside.

Most executives in TMT (71%) and healthcare (67% industries believe they 65% of executives believe generative AI will have a high or extremely high
KPMG June 2023 have adequately prioritized generative AI, while only 30% in consumer and impact on their organization in the next 3-5 years, and 60% say they are 1-2
retail say that it is a priority. years away from implementing their first generative AI solution.

Green shading indicates surveys released since last quarterly update.

Source: Goldman Sachs Global Investment Research

2 July 2024 7
 Goldman Sachs AI Adoption Tracker

AI’s Impact on the Labor Market

Exhibit 11: AI-Related Job Postings Have Ticked Up as a Share of Total Job Openings and Surged as a Share of IT Job Openings
For the exclusive use of [email protected]

Source: LinkUp, Goldman Sachs Global Investment Research

Exhibit 12: Mentions of AI in Corporate Layoff Announcements Remain Muted

Thousands Layoffs Attributed to Factor in Corporate Announcements: Thousands

16 16
"Technological Change"
14 "Artificial Intelligence" 14

12 Total (May 2023-May 2024): 12

20,655
10 10

8 8

9a0c3bf0514c11deab0a0014c2408514
6 6

4 4

2 2

0 0
May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May
2024

Source: Challenger, Gray & Christmas, Goldman Sachs Global Investment Research

2 July 2024 8
 Goldman Sachs AI Adoption Tracker

Exhibit 13: The Unemployment Rate for AI-Exposed Jobs Has Generally Tracked (and Recently Undershot)
the Broader Labor Market
For the exclusive use of [email protected]

Source: Census Bureau, IPUMS, Goldman Sachs Global Investment Research

9a0c3bf0514c11deab0a0014c2408514

2 July 2024 9
 Goldman Sachs AI Adoption Tracker

Latest GS Research on Artificial Intelligence

n Top of Mind: Gen AI: Too Much Spend, Too Little Benefit?, June 25
n Generative AI Part VI: Examining the Consumer Internet Landscape, June 24
n Global Economics Comment: Reconciling Estimates of the Growth Impact of
Generative AI, June 4
n Global Markets Daily: Is AI Already Boosting US Power Demand?, May 14
n Generational Growth: AI, Data Centers and the Coming US Power Demand Surge,
April 28
n GS SUSTAIN: Generational Growth: AI/Data Centers’ Global Power Surge and the
Sustainability Impact, April 28
n For research from prior quarters, see the Artificial Intelligence page on our publishing
portal.
For the exclusive use of [email protected]

9a0c3bf0514c11deab0a0014c2408514

2 July 2024 10
 Goldman Sachs AI Adoption Tracker

Disclosure Appendix
Reg AC
We, Jan Hatzius, Joseph Briggs, Devesh Kodnani and Giovanni Pierdomenico, hereby certify that all of the views expressed in this report accurately
reflect our personal views, which have not been influenced by considerations of the firm’s business or client relationships.
Unless otherwise stated, the individuals listed on the cover page of this report are analysts in Goldman Sachs’ Global Investment Research division.

Disclosures
Regulatory disclosures
Disclosures required by United States laws and regulations
See company-specific regulatory disclosures above for any of the following disclosures required as to companies referred to in this report: manager or
co-manager in a pending transaction; 1% or other ownership; compensation for certain services; types of client relationships; managed/co-managed
public offerings in prior periods; directorships; for equity securities, market making and/or specialist role. Goldman Sachs trades or may trade as a
principal in debt securities (or in related derivatives) of issuers discussed in this report.
The following are additional required disclosures: Ownership and material conflicts of interest: Goldman Sachs policy prohibits its analysts,
professionals reporting to analysts and members of their households from owning securities of any company in the analyst’s area of coverage.
Analyst compensation: Analysts are paid in part based on the profitability of Goldman Sachs, which includes investment banking revenues. Analyst
as officer or director: Goldman Sachs policy generally prohibits its analysts, persons reporting to analysts or members of their households from
serving as an officer, director or advisor of any company in the analyst’s area of coverage. Non-U.S. Analysts: Non-U.S. analysts may not be
associated persons of Goldman Sachs & Co. LLC and therefore may not be subject to FINRA Rule 2241 or FINRA Rule 2242 restrictions on
communications with subject company, public appearances and trading securities held by the analysts.

Additional disclosures required under the laws and regulations of jurisdictions other than the United States
The following disclosures are those required by the jurisdiction indicated, except to the extent already made above pursuant to United States laws and
For the exclusive use of [email protected]

regulations. Australia: Goldman Sachs Australia Pty Ltd and its affiliates are not authorised deposit-taking institutions (as that term is defined in the
Banking Act 1959 (Cth)) in Australia and do not provide banking services, nor carry on a banking business, in Australia. This research, and any access to
it, is intended only for “wholesale clients” within the meaning of the Australian Corporations Act, unless otherwise agreed by Goldman Sachs. In
producing research reports, members of Global Investment Research of Goldman Sachs Australia may attend site visits and other meetings hosted by
the companies and other entities which are the subject of its research reports. In some instances the costs of such site visits or meetings may be met
in part or in whole by the issuers concerned if Goldman Sachs Australia considers it is appropriate and reasonable in the specific circumstances relating
to the site visit or meeting. To the extent that the contents of this document contains any financial product advice, it is general advice only and has
been prepared by Goldman Sachs without taking into account a client’s objectives, financial situation or needs. A client should, before acting on any
such advice, consider the appropriateness of the advice having regard to the client’s own objectives, financial situation and needs. A copy of certain
Goldman Sachs Australia and New Zealand disclosure of interests and a copy of Goldman Sachs’ Australian Sell-Side Research Independence Policy
Statement are available at: https://www.goldmansachs.com/disclosures/australia-new-zealand/index.html. Brazil: Disclosure information in relation to
CVM Resolution n. 20 is available at https://www.gs.com/worldwide/brazil/area/gir/index.html. Where applicable, the Brazil-registered analyst primarily
responsible for the content of this research report, as defined in Article 20 of CVM Resolution n. 20, is the first author named at the beginning of this
report, unless indicated otherwise at the end of the text. Canada: This information is being provided to you for information purposes only and is not,
and under no circumstances should be construed as, an advertisement, offering or solicitation by Goldman Sachs & Co. LLC for purchasers of
securities in Canada to trade in any Canadian security. Goldman Sachs & Co. LLC is not registered as a dealer in any jurisdiction in Canada under
applicable Canadian securities laws and generally is not permitted to trade in Canadian securities and may be prohibited from selling certain securities
and products in certain jurisdictions in Canada. If you wish to trade in any Canadian securities or other products in Canada please contact Goldman
Sachs Canada Inc., an affiliate of The Goldman Sachs Group Inc., or another registered Canadian dealer. Hong Kong: Further information on the

9a0c3bf0514c11deab0a0014c2408514
securities of covered companies referred to in this research may be obtained on request from Goldman Sachs (Asia) L.L.C. India: Further information
on the subject company or companies referred to in this research may be obtained from Goldman Sachs (India) Securities Private Limited, Research
Analyst - SEBI Registration Number INH000001493, 951-A, Rational House, Appasaheb Marathe Marg, Prabhadevi, Mumbai 400 025, India, Corporate
Identity Number U74140MH2006FTC160634, Phone +91 22 6616 9000, Fax +91 22 6616 9001. Goldman Sachs may beneficially own 1% or more of
the securities (as such term is defined in clause 2 (h) the Indian Securities Contracts (Regulation) Act, 1956) of the subject company or companies
referred to in this research report. Investment in securities market are subject to market risks. Read all the related documents carefully before
investing. Registration granted by SEBI and certification from NISM in no way guarantee performance of the intermediary or provide any assurance of
returns to investors. Goldman Sachs (India) Securities Private Limited Investor Grievance E-mail: [email protected]. Compliance Officer: Anil
Rajput |Tel: + 91 22 6616 9000 | Email: [email protected]. Japan: See below. Korea: This research, and any access to it, is intended only for
“professional investors” within the meaning of the Financial Services and Capital Markets Act, unless otherwise agreed by Goldman Sachs. Further
information on the subject company or companies referred to in this research may be obtained from Goldman Sachs (Asia) L.L.C., Seoul Branch. New
Zealand: Goldman Sachs New Zealand Limited and its affiliates are neither “registered banks” nor “deposit takers” (as defined in the Reserve Bank of
New Zealand Act 1989) in New Zealand. This research, and any access to it, is intended for “wholesale clients” (as defined in the Financial Advisers Act
2008) unless otherwise agreed by Goldman Sachs. A copy of certain Goldman Sachs Australia and New Zealand disclosure of interests is available at:
https://www.goldmansachs.com/disclosures/australia-new-zealand/index.html. Russia: Research reports distributed in the Russian Federation are not
advertising as defined in the Russian legislation, but are information and analysis not having product promotion as their main purpose and do not
provide appraisal within the meaning of the Russian legislation on appraisal activity. Research reports do not constitute a personalized investment
recommendation as defined in Russian laws and regulations, are not addressed to a specific client, and are prepared without analyzing the financial
circumstances, investment profiles or risk profiles of clients. Goldman Sachs assumes no responsibility for any investment decisions that may be taken
by a client or any other person based on this research report. Singapore: Goldman Sachs (Singapore) Pte. (Company Number: 198602165W), which is
regulated by the Monetary Authority of Singapore, accepts legal responsibility for this research, and should be contacted with respect to any matters
arising from, or in connection with, this research. Taiwan: This material is for reference only and must not be reprinted without permission. Investors
should carefully consider their own investment risk. Investment results are the responsibility of the individual investor. United Kingdom: Persons who
would be categorized as retail clients in the United Kingdom, as such term is defined in the rules of the Financial Conduct Authority, should read this
research in conjunction with prior Goldman Sachs research on the covered companies referred to herein and should refer to the risk warnings that have
been sent to them by Goldman Sachs International. A copy of these risks warnings, and a glossary of certain financial terms used in this report, are
available from Goldman Sachs International on request.
European Union and United Kingdom: Disclosure information in relation to Article 6 (2) of the European Commission Delegated Regulation (EU)
(2016/958) supplementing Regulation (EU) No 596/2014 of the European Parliament and of the Council (including as that Delegated Regulation is

2 July 2024 11
 Goldman Sachs AI Adoption Tracker

implemented into United Kingdom domestic law and regulation following the United Kingdom’s departure from the European Union and the European
Economic Area) with regard to regulatory technical standards for the technical arrangements for objective presentation of investment
recommendations or other information recommending or suggesting an investment strategy and for disclosure of particular interests or indications of
conflicts of interest is available at https://www.gs.com/disclosures/europeanpolicy.html which states the European Policy for Managing Conflicts of
Interest in Connection with Investment Research.
Japan: Goldman Sachs Japan Co., Ltd. is a Financial Instrument Dealer registered with the Kanto Financial Bureau under registration number Kinsho
69, and a member of Japan Securities Dealers Association, Financial Futures Association of Japan Type II Financial Instruments Firms Association, The
Investment Trusts Association, Japan, and Japan Investment Advisers Association. Sales and purchase of equities are subject to commission
pre-determined with clients plus consumption tax. See company-specific disclosures as to any applicable disclosures required by Japanese stock
exchanges, the Japanese Securities Dealers Association or the Japanese Securities Finance Company.

Global product; distributing entities

Goldman Sachs Global Investment Research produces and distributes research products for clients of Goldman Sachs on a global basis. Analysts based
in Goldman Sachs offices around the world produce research on industries and companies, and research on macroeconomics, currencies, commodities
and portfolio strategy. This research is disseminated in Australia by Goldman Sachs Australia Pty Ltd (ABN 21 006 797 897); in Brazil by Goldman Sachs
do Brasil Corretora de Títulos e Valores Mobiliários S.A.; Public Communication Channel Goldman Sachs Brazil: 0800 727 5764 and / or
[email protected]. Available Weekdays (except holidays), from 9am to 6pm. Canal de Comunicação com o Público Goldman Sachs Brasil:
0800 727 5764 e/ou [email protected]. Horário de funcionamento: segunda-feira à sexta-feira (exceto feriados), das 9h às 18h; in Canada
by Goldman Sachs & Co. LLC; in Hong Kong by Goldman Sachs (Asia) L.L.C.; in India by Goldman Sachs (India) Securities Private Ltd.; in Japan by
Goldman Sachs Japan Co., Ltd.; in the Republic of Korea by Goldman Sachs (Asia) L.L.C., Seoul Branch; in New Zealand by Goldman Sachs New
Zealand Limited; in Russia by OOO Goldman Sachs; in Singapore by Goldman Sachs (Singapore) Pte. (Company Number: 198602165W); and in the
United States of America by Goldman Sachs & Co. LLC. Goldman Sachs International has approved this research in connection with its distribution in
the United Kingdom.
Goldman Sachs International (“GSI”), authorised by the Prudential Regulation Authority (“PRA”) and regulated by the Financial Conduct Authority
(“FCA”) and the PRA, has approved this research in connection with its distribution in the United Kingdom.
European Economic Area: GSI, authorised by the PRA and regulated by the FCA and the PRA, disseminates research in the following jurisdictions
within the European Economic Area: the Grand Duchy of Luxembourg, Italy, the Kingdom of Belgium, the Kingdom of Denmark, the Kingdom of
Norway, the Republic of Finland and the Republic of Ireland; GSI - Succursale de Paris (Paris branch) which is authorised by the French Autorité de
For the exclusive use of [email protected]

contrôle prudentiel et de resolution (“ACPR”) and regulated by the Autorité de contrôle prudentiel et de resolution and the Autorité des marches
financiers (“AMF”) disseminates research in France; GSI - Sucursal en España (Madrid branch) authorized in Spain by the Comisión Nacional del
Mercado de Valores disseminates research in the Kingdom of Spain; GSI - Sweden Bankfilial (Stockholm branch) is authorized by the SFSA as a “third
country branch” in accordance with Chapter 4, Section 4 of the Swedish Securities and Market Act (Sw. lag (2007:528) om värdepappersmarknaden)
disseminates research in the Kingdom of Sweden; Goldman Sachs Bank Europe SE (“GSBE”) is a credit institution incorporated in Germany and, within
the Single Supervisory Mechanism, subject to direct prudential supervision by the European Central Bank and in other respects supervised by German
Federal Financial Supervisory Authority (Bundesanstalt für Finanzdienstleistungsaufsicht, BaFin) and Deutsche Bundesbank and disseminates research
in the Federal Republic of Germany and those jurisdictions within the European Economic Area where GSI is not authorised to disseminate research
and additionally, GSBE, Copenhagen Branch filial af GSBE, Tyskland, supervised by the Danish Financial Authority disseminates research in the Kingdom
of Denmark; GSBE - Sucursal en España (Madrid branch) subject (to a limited extent) to local supervision by the Bank of Spain disseminates research in
the Kingdom of Spain; GSBE - Succursale Italia (Milan branch) to the relevant applicable extent, subject to local supervision by the Bank of Italy (Banca
d’Italia) and the Italian Companies and Exchange Commission (Commissione Nazionale per le Società e la Borsa “Consob”) disseminates research in
Italy; GSBE - Succursale de Paris (Paris branch), supervised by the AMF and by the ACPR disseminates research in France; and GSBE - Sweden
Bankfilial (Stockholm branch), to a limited extent, subject to local supervision by the Swedish Financial Supervisory Authority (Finansinpektionen)
disseminates research in the Kingdom of Sweden.

General disclosures
This research is for our clients only. Other than disclosures relating to Goldman Sachs, this research is based on current public information that we
consider reliable, but we do not represent it is accurate or complete, and it should not be relied on as such. The information, opinions, estimates and

9a0c3bf0514c11deab0a0014c2408514
forecasts contained herein are as of the date hereof and are subject to change without prior notification. We seek to update our research as
appropriate, but various regulations may prevent us from doing so. Other than certain industry reports published on a periodic basis, the large majority
of reports are published at irregular intervals as appropriate in the analyst’s judgment.
Goldman Sachs conducts a global full-service, integrated investment banking, investment management, and brokerage business. We have investment
banking and other business relationships with a substantial percentage of the companies covered by Global Investment Research. Goldman Sachs &
Co. LLC, the United States broker dealer, is a member of SIPC (https://www.sipc.org).
Our salespeople, traders, and other professionals may provide oral or written market commentary or trading strategies to our clients and principal
trading desks that reflect opinions that are contrary to the opinions expressed in this research. Our asset management area, principal trading desks and
investing businesses may make investment decisions that are inconsistent with the recommendations or views expressed in this research.
We and our affiliates, officers, directors, and employees will from time to time have long or short positions in, act as principal in, and buy or sell, the
securities or derivatives, if any, referred to in this research, unless otherwise prohibited by regulation or Goldman Sachs policy.
The views attributed to third party presenters at Goldman Sachs arranged conferences, including individuals from other parts of Goldman Sachs, do not
necessarily reflect those of Global Investment Research and are not an official view of Goldman Sachs.
Any third party referenced herein, including any salespeople, traders and other professionals or members of their household, may have positions in the
products mentioned that are inconsistent with the views expressed by analysts named in this report.
This research is focused on investment themes across markets, industries and sectors. It does not attempt to distinguish between the prospects or
performance of, or provide analysis of, individual companies within any industry or sector we describe.
Any trading recommendation in this research relating to an equity or credit security or securities within an industry or sector is reflective of the
investment theme being discussed and is not a recommendation of any such security in isolation.
This research is not an offer to sell or the solicitation of an offer to buy any security in any jurisdiction where such an offer or solicitation would be
illegal. It does not constitute a personal recommendation or take into account the particular investment objectives, financial situations, or needs of
individual clients. Clients should consider whether any advice or recommendation in this research is suitable for their particular circumstances and, if
appropriate, seek professional advice, including tax advice. The price and value of investments referred to in this research and the income from them
may fluctuate. Past performance is not a guide to future performance, future returns are not guaranteed, and a loss of original capital may occur.
Fluctuations in exchange rates could have adverse effects on the value or price of, or income derived from, certain investments.

2 July 2024 12
 Goldman Sachs AI Adoption Tracker

Certain transactions, including those involving futures, options, and other derivatives, give rise to substantial risk and are not suitable for all investors.
Investors should review current options and futures disclosure documents which are available from Goldman Sachs sales representatives or at
https://www.theocc.com/about/publications/character-risks.jsp and
https://www.fiadocumentation.org/fia/regulatory-disclosures_1/fia-uniform-futures-and-options-on-futures-risk-disclosures-booklet-pdf-version-2018.
Transaction costs may be significant in option strategies calling for multiple purchase and sales of options such as spreads. Supporting documentation
will be supplied upon request.
Differing Levels of Service provided by Global Investment Research: The level and types of services provided to you by Goldman Sachs Global
Investment Research may vary as compared to that provided to internal and other external clients of GS, depending on various factors including your
individual preferences as to the frequency and manner of receiving communication, your risk profile and investment focus and perspective (e.g.,
marketwide, sector specific, long term, short term), the size and scope of your overall client relationship with GS, and legal and regulatory constraints.
As an example, certain clients may request to receive notifications when research on specific securities is published, and certain clients may request
that specific data underlying analysts’ fundamental analysis available on our internal client websites be delivered to them electronically through data
feeds or otherwise. No change to an analyst’s fundamental research views (e.g., ratings, price targets, or material changes to earnings estimates for
equity securities), will be communicated to any client prior to inclusion of such information in a research report broadly disseminated through electronic
publication to our internal client websites or through other means, as necessary, to all clients who are entitled to receive such reports.
All research reports are disseminated and available to all clients simultaneously through electronic publication to our internal client websites. Not all
research content is redistributed to our clients or available to third-party aggregators, nor is Goldman Sachs responsible for the redistribution of our
research by third party aggregators. For research, models or other data related to one or more securities, markets or asset classes (including related
services) that may be available to you, please contact your GS representative or go to https://research.gs.com.
Disclosure information is also available at https://www.gs.com/research/hedge.html or from Research Compliance, 200 West Street, New York, NY
10282.
© 2024 Goldman Sachs.
You are permitted to store, display, analyze, modify, reformat, and print the information made available to you via this service only for your own use.
You may not resell or reverse engineer this information to calculate or develop any index for disclosure and/or marketing or create any other derivative
works or commercial product(s), data or offering(s) without the express written consent of Goldman Sachs. You are not permitted to publish, transmit,
or otherwise reproduce this information, in whole or in part, in any format to any third party without the express written consent of Goldman Sachs.
This foregoing restriction includes, without limitation, using, extracting, downloading or retrieving this information, in whole or in part, to train or
For the exclusive use of [email protected]

finetune a third-party machine learning or artificial intelligence system, or to provide or reproduce this information, in whole or in part, as a prompt or
input to any such system.

9a0c3bf0514c11deab0a0014c2408514

2 July 2024 13