The AI Economy β Not An Exaggeration
Thereβs an article (gift link) out today in The Wall Street Journal about infrastructure spending on AI and data centers. We know the stock market is fueled, dominated by the AI boom. We know about the politics of data centers. But the details here, largely based on a recent Brookings study really boggle the mind. Iβm going to share two charts to illustrate the story. But the gist is that AI is already year over year the biggest infrastructure build in American history, dwarfing the US highway system, the data transmission build out for the internet, canals and being substantially bigger than the railroad buildout in the years after the Civil War. And by many measures the entire economy is now dominated by AI spending. Not only is the non-AI economy doing pretty poorly, at least showing less spending than before. But to a great degree thatβs because AI spending is crowded out other spending and driving up prices. (If youβve tried to buy a computer or computer memory recently you knows this.)
Iβm going to share a few charts.
