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EM Ethan Mollick Ethan Mollick I am a professor at the Wharton School of the University of Pennsylvania.

“There's a lot of systems like the banking system and the customer service system that depend on friction. It's hard to make a phone call. It's annoying to file something. It takes effort to find that there's a problem and gather your paperwork, even lawsuits, things like that. And now we got those done at scale.”

Big Technology · Tech Strategy & Big Tech · October 2026

“There's a lot of systems like the banking system and the customer service system that depend on friction. It's hard to make a phone call. It's annoying to file something. It takes effort to find that there's a problem and gather your paperwork, even lawsuits, things like that. And now we got those done at scale.” — Ethan Mollick, Big Technology

Context

Kantrowitz read out Mollick's tweet predicting a "perfectly legal" denial-of-service attack on customer service departments once consumers' AI agents can make unlimited refund requests. Mollick says his own agent has already cancelled subscriptions he couldn't figure out how to leave.

Transcript

Big Technology Around 1:02:37 into the episode
Ethan Mollick

…deflationary push. And so it's why I'm not that worried. Like I think that the token cost concern will go the way of, you know, of vibe coding and rag and other kinds of things because costs will decrease even as we get more compute online. So there's a downward pressure on prices that is real.

Alex Kantrowitz

…we will soon see what will be in effect a perfectly legal distributed denial of service tech on customer service departments authorized by millions of consumers when it comes when it becomes widely known that Muse. et cetera can make unlimited requests for old refunds, negotiate deals, et cetera.

Ethan Mollick

Yeah, I mean, I think there's a lot of systems like the banking system and the customer service system that depend on friction. It's hard to make a phone call. It's annoying to file something. It takes effort to find that there's a problem and gather your paperwork, even lawsuits, things like that. And now we got those done at scale. Even worse with proactive systems, right? I've already saved, I've already had my dot cancel several like long-term subscriptions I couldn't figure out how to get out of. Like it's dealt with them for me. I have no idea how, but I'm not paying them anymore. So I don't know how many systems it spun up or how many chats it had. I don't have to know. And I think that as these things become widely…

Alex Kantrowitz

Okay, last one. I thought this was really interesting. As the overhang between AI's expanding capabilities and the degree to which AI capabilities are used grows, the penalty of locking in a good enough solution based on today's AI's limits grows too. Firms need to make sure they can benefit from…

Ethan Mollick

Yeah, I mean, it's funny because we were talking earlier about this too, which is that, you know, there's a huge amount of investment, but the investment is not coming from like most companies aren't actually investing. They're spending money on tokens, but they're not investing in building and…

Alex Kantrowitz

Okay. The book is Coexistence: the Next Phase of AI. Our guest has been Professor Ethan Mollick. Professor, I mean, great to have you here. It's great to be able to speak in person. Like I said, we're very religious readers of everything you do. And thank you for illuminating this wild time for us.…

Speaker names come from our own diarization. The position is estimated from where the line sits in the episode.

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