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Jersey Mike's IPO: AI Hype Goes Off the Rails

Pinpointing the precise moment when enthusiasm for a new technology transitions into pure hype can be challenging. However, the inclusion of artificia

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Originally reported bytechcrunch

Pinpointing the precise moment when enthusiasm for a new technology transitions into pure hype can be challenging. However, the inclusion of artificial intelligence in the IPO documentation of a sandwich chain, prominently fronted by Danny DeVito, suggests we are nearing that threshold.

This phenomenon is exemplified by Jersey Mike’s. The current investor fervor for all things AI naturally compels technology companies to liberally sprinkle AI terminology throughout their pitches. This holds true not only for non-AI startups seeking venture capital but also for entities like Bending Spoons, which specializes in acquiring and revitalizing older, non-AI tech firms before their public debut.

Driven by curiosity, I examined Jersey Mike’s IPO documents, specifically their S-1 filing, to gauge the extent of this compulsion. It seemed improbable that a sandwich shop would find cause to mention AI. Yet, surprisingly, the term "artificial intelligence" and its acronym "AI" appeared no less than 22 times.

Clearly, Jersey Mike's is not in the business of selling AI software; their core offering is submarine sandwiches. The frequent AI mentions underscore the prevailing investor appetite for AI-driven products and services.

Intriguingly, the company even managed to incorporate AI into its investor risk warnings. The humor in this is further amplified by the lack of specific detail regarding how AI is being utilized or what potential dangers it poses to investors, beyond a vague statement: “We are beginning to use AI Technologies in our business.”

To be fair, as a company operating through franchisees, Jersey Mike's undeniably relies on software (mentioned 52 times) and data (112 mentions), much like any modern business. Its AI risk warning likely constitutes boilerplate language, perhaps deemed necessary given past incidents in the food industry, such as Starbucks' ill-fated AI inventory tool, which proved ineffective and was ultimately abandoned.

Nevertheless, I would venture to suggest that the risk of an AI-induced catastrophe for a company that produces tangible sandwiches, rather than abstract AI solutions, is roughly equivalent to a franchise location being struck by lightning. Such an event, incidentally, did occur at a Texas shop in 2021. Yet, "weather" was mentioned only five times in the S-1, and "lightning" not at all.

#AI News#Jersey Mike's#AI Hype#IPO Documents#Sandwich Chain
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