Two diverging economiesThe AI economy vs. the legacy economyDoes it feel like every business headline now features billions? Ellison’s media bets and the new rules of the AI economy (Analyst Angle) 4The result is a bifurcation in markets: two economies moving on different curves. The AI economy commands premium multiples and capital inflows, while the legacy economy continues to deliver steady but unspectacular growth. Ellison’s media bets and the new rules of the AI economy (Analyst Angle) 5In practice, firms are building huge fixed-cost platforms to deliver products that behave like software. Ellison’s media bets and the new rules of the AI economy (Analyst Angle) 6If successful, such firms will be less vulnerable to margin collapse from commoditization because they are not just compute vendors.