Tech's Half of the S&P 500 Cuts Its Economic Link, DataTrek's Colas Says
Nick Colas of DataTrek says tech is about 50% of the S&P 500, weakening the index as an economic proxy. He recommends the equal-weight S&P 500 and homebuilders.
Elon Musk agreed with Epic Games CEO Tim Sweeney that AI gaming tools will usher in a new golden age, potentially slashing development costs and shifting…
Epic Games CEO Tim Sweeney's prediction that AI tools will usher in a new golden age for gaming drew a nod of agreement from Elon Musk. The argument underpinning it is that artificial intelligence can make commercially viable titles that previously cost multiple times their revenue to create.
The Epic founder does not position AI as a substitute for expert coders, however. He argues that the bulk of programming was never the truly challenging element in the first place.
In a subsequent post on X, Sweeney detailed his time allocation while creating Unreal Engine 1. Epic's engine initially debuted in 1998 alongside the shooter Unreal.
Roughly 30% of his effort was invested in difficult challenges like texture mapping, networking, and systems architecture. The remaining 70% was spent typing and refactoring extensive code segments.
This routine labor drew a comparison from him to contemporary vibe coding, a method where developers prompt an AI and then examine the output. Consequently, deploying AI for that 70% portion of work always struck him as entirely rational.
What has taken Sweeney more aback is AI taking on more complex assignments as well. He equated this phenomenon to John Carmack, the id Software co-founder and lead developer on Doom and Quake.
“What’s more of a surprise is the emergence of AI as a sort of insta-Carmack able to solve hard technical problems quite cleverly and often cleanly.”
Sweeney
When I was writing Unreal Engine 1, my time was divided as follows:
— Tim Sweeney (@TimSweeneyEpic) October 18, 2026
– Around 30% went to seriously deep coding on hard problems: assembly language texture mappers, C++ BSP trees, data persistence, object oriented systems design, and networking.
– Around 70% was just typing and…
Comparable progress is evident beyond the gaming sector as well. An OpenAI model managed to solve an 80-year-old mathematical conundrum independently back in May.
Musk's concise reply—"True"—garnered more than 2 million impressions on X.
— Elon Musk (@elonmusk) October 17, 2026
As part of a broader push into AI coding, Epic instructed its staff earlier this month to stop writing code manually.
The creative dimension is also set for transformation in Sweeney's view. Instead of crafting every piece of dialogue, designers might produce a character's biography, personality profile, and behavioral traits.
AI is shaking up the nature of the creative work being done, pushing more towards direction and away from tweaking everything manually. The key parts of a game will be heavily directed by creatives, but AI will enable modes of creativity that just aren't possible now.
— Tim Sweeney (@TimSweeneyEpic) October 18, 2026
For…
He cited the Fortnite Darth Vader event as an early case in point. During May 2025, players engaged in live chat with an AI-powered Vader voiced by the late James Earl Jones. Users soon successfully duped the character into cursing.
Should AI development tools effectively lower time and expense, studio labor might move away from writing code and towards design and concept art. This is significant in a field where protracted delays for GTA 6 sparked derision from the White House.
For Sweeney, the final game is what matters, not the methods used in its construction.
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