Robert Dougherty 
Yeaman made the comments during a session at the Australian Defence Industry Accelerator Summit held at the National Convention Centre, Canberra, on 16 July.
Yeaman examined the emergence of a new global economic era shaped by significant shifts in geopolitics, technology and demographics during the speech.
He spoke of forces driving increased volatility in global financial markets, reshaping critical supply chains, and accelerating defence investment domestically and globally.
Defence, energy and artificial intelligence are all driving an investment upswing in global markets at the moment, he said.
Specifically, Yeaman addressed concerns around a possible AI bubble scenario.
“There are reasons to be concerned, he said, 40 artificial intelligence companies account for half the US stock exchange. That is a big concentration of risk.
“Traditional valuations of AI are high. We do expect to see some corrections over time. But at CBA, we don’t think this is dot.com 2.0. Fundamentally, they look solid. We think there is real value in artificial intelligence over the next few years.
“Importantly, there is big upside in AI. If adopted well, we could see productivity lift of 1 per cent a year is entirely plausible, optimistically 2.5 per cent or pessimistically 0.5 per cent.”
Want to see more stories from trusted news sources?Make Cyber Daily a preferred news source on Google.