Tom Ellsworth, also known as “The Bisdoc,” opens 2026 with his top ten predictions for the year, focusing on major trends in AI, the economy, housing, and media. He starts by forecasting a slowdown in AI growth, not due to a lack of technological advancement, but because of a “power wall”—the limited availability of energy and the challenges of building new data centers. Permitting delays and local resistance to increased energy demand are creating bottlenecks, making power, rather than chips or servers, the main constraint for AI expansion in 2026.
Ellsworth’s second prediction centers on the shift in corporate attitudes toward AI. The initial excitement is giving way to scrutiny, with boards now demanding clear returns on investment (ROI) from AI initiatives. Companies will face pressure to demonstrate tangible benefits, and headlines will increasingly focus on the effectiveness and profitability of AI deployments. This marks a transition from AI being a “shiny object” to a tool that must justify its costs.
The labor market is Ellsworth’s third focus. He predicts ongoing challenges, not just from unemployment, but from a mismatch between available jobs and worker skills—a phenomenon he calls “reskilling.” Automation, robotics, and autonomous vehicles are displacing workers, especially in logistics and warehousing, leading to geographic and skill-based imbalances. While jobs remain plentiful, they are often in the wrong places or require new skills, prompting headlines about labor market “adjustment” and “calibration.”
Turning to economic policy, Ellsworth anticipates a new Federal Reserve chair, likely more aligned with the Trump administration, who will respond to labor market pressures with two interest rate cuts before mid-June. However, he cautions that lower rates won’t be a panacea for struggling businesses or the housing market. Mortgage rates may dip to around 5.75% for top-tier borrowers, but banks will remain cautious, and businesses with weak balance sheets will continue to face difficulties.
In the second half of his predictions, Ellsworth expects national housing prices to remain flat or rise slightly, with notable regional declines—especially on Florida’s Gulf Coast due to hurricanes and high insurance costs. The S&P 500 is projected to grow by about 10%, reaching 7,600, but with headwinds from labor and AI challenges. Electric vehicles (EVs) will face a shakeout, with hybrids regaining popularity and investment flowing into charging infrastructure and battery technology. In media, the sale of legacy companies like Warner Bros. Discovery will accelerate the decline of traditional cable channels, shifting focus to streaming, individual series, and personalities. Podcasts will become the new “shiny objects” for media companies, but attempts to consolidate them into linear-style channels will mostly fail, with independent podcasts faring better. Ellsworth concludes by inviting viewers to revisit his predictions next year and offers consulting services for businesses seeking guidance.