Barry Diller told Business Insider's Peter Kafka that "forever assets" like MGM and its Las Vegas resorts are protected from AI disruption. Carl Timpone/ BFA

Media mogul Barry Diller thinks businesses that operate in the real world have a strong protective moat against AI.

That was the inspiration for his company People Inc.'s June bid for MGM Resorts International's casino and hotel business, which he called "forever assets."

As some consumers turn to AI chatbots to complete tasks like buying plane tickets or managing subscriptions, digital-only businesses could get boxed out. That creates real risks for internet brands like Expedia Inc., where Diller is an investor and board member. It's less of a problem for companies whose businesses exist in the real world, he said.

Nothing is going to replace Las Vegas, Diller said — and no one's going to buy another one.…