I think its largely because there is not a lot of money to be made by doing that in the short term — core non software services are still the largest part of the GDP(think GM, coca cola or united healthcare) ? The reasons are a bit varied but I think a neat abstraction comes down to incentives.
There is a reason why healthcare and grade school education are so hard to disrupt[2] (in the sense of United Health Care or wily publishing disrupted). The biggest incentive is cost and there is no reason to believe things will become less expensive unless people believe that — en masse. People only adopted the light bulb decades after its invention because industrial use made electricity dirt cheaper than wax and gas(and infra became ubiquitous).
Are AI tokens are making health care any cheaper, education any cheaper? No way. Do they make up majority of the economy? yes.
Also, here be dragons(no pun intended): Even china with a highly vertically integrated[1] system is facing so many issues with all incentives it is giving to AI companies, internally in china demand has collapsed, their export driven economy is not really sustainable to grow GDP at the +ve rate they want.
[1] https://www.economist.com/china/2026/03/24/chinas-government...
[2] When i worked for an ed-tech startup there is no incentive strong enough to use AI/ML, a big publishing exec told us "I don't need my product to have AI to succeed, I just need to say it does". There are however plenty of other "side incentives" like Google Chromebooks, Charter schools, but none for teachers and parents to replace Big Publishing.
There is a reason why healthcare and grade school education are so hard to disrupt[2] (in the sense of United Health Care or wily publishing disrupted). The biggest incentive is cost and there is no reason to believe things will become less expensive unless people believe that — en masse. People only adopted the light bulb decades after its invention because industrial use made electricity dirt cheaper than wax and gas(and infra became ubiquitous).
Are AI tokens are making health care any cheaper, education any cheaper? No way. Do they make up majority of the economy? yes.
Also, here be dragons(no pun intended): Even china with a highly vertically integrated[1] system is facing so many issues with all incentives it is giving to AI companies, internally in china demand has collapsed, their export driven economy is not really sustainable to grow GDP at the +ve rate they want.
[1] https://www.economist.com/china/2026/03/24/chinas-government...
[2] When i worked for an ed-tech startup there is no incentive strong enough to use AI/ML, a big publishing exec told us "I don't need my product to have AI to succeed, I just need to say it does". There are however plenty of other "side incentives" like Google Chromebooks, Charter schools, but none for teachers and parents to replace Big Publishing.