> Weird, I thought AI was going to create so much economic surplus that we wouldn’t know what to do with it. What happened?

The surplus is converted in new structure and becomes baseline. Even if a company does not change, their competition does (with AI), and their customers & investors change their values as well. So the structure in which the company exists has changed.

That forces everyone to adapt, but most importantly surplus cannot be captured. Everyone is working harder just to stay in place. AI is like internet, Google search and MS office - everyone has them. They provide no competitive advantage, no moat for using them.