The Financial Times reports that ten loss making artificial intelligence (AI) start-ups have gained close to $1 trillion in private market valuation in the past 12 months, fuelling fears about a bubble in private markets that is much greater than the dot com bubble at the end of the 20th century. OpenAI leads the pack with a $500 billion valuation, but Anthropic and xAI have also seen their values march higher amid a mad scramble to buy into emerging AI companies. Sm...| IEEE ComSoc Technology Blog
Tech firms are spending hundreds of billions of dollars on advanced AI chips and data centers, not just to keep pace with a surge in the use of chatbots such as ChatGPT, Gemini and Claude, but to make sure they’re ready to handle a more fundamental and disruptive shift of economic activity from humans to machines. The final bill may run into the trillions. The financing is coming from venture capital, debt and, lately, some more unconventional arrangements that have raised concerns among to...| techblog.comsoc.org
Tech firms are spending hundreds of billions of dollars on advanced AI chips and data centers, not just to keep pace with a surge in the use of chatbots such as ChatGPT, Gemini and Claude, but to make sure they’re ready to handle a more fundamental and disruptive shift of economic activity from humans to machines. The final bill may run into the trillions. The financing is coming from venture capital, debt and, lately, some more unconventional arrangements that have raised concerns among to...| IEEE ComSoc Technology Blog
IEEE Techblog has called attention to the many challenges and risks inherent in the current mega-spending boom for AI infrastructure (building data centers, obtaining power/electricity, cooling, maintenance, fiber optic networking, etc) . In particular, these two recent blog posts:| IEEE ComSoc Technology Blog
Big Tech plans to spend between $364 billion and $400 billion on AI data centers, purchasing specialized AI hardware like GPUs, and supporting cloud computing/storage capacity. The final 2Q 2025 GDP report, released last week, reveals a surge in data center infrastructure spending from $9.5 billion in early 2020 to $40.4 billion in the second quarter of 2025. It’s largely due to an unprecedented investment boom driven by artificial intelligence (AI) and cloud computing. The increase highl...| techblog.comsoc.org
Big Tech plans to spend between $364 billion and $400 billion on AI data centers, purchasing specialized AI hardware like GPUs, and supporting cloud computing/storage capacity. The final 2Q 2025 GDP report, released last week, reveals a surge in data center infrastructure spending from $9.5 billion in early 2020 to $40.4 billion in the second quarter of 2025. It’s largely due to an unprecedented investment boom driven by artificial intelligence (AI) and cloud computing. The increase highl...| IEEE ComSoc Technology Blog
Big Tech plans to spend between $364 billion and $400 billion on AI data centers, purchasing specialized AI hardware like GPUs, and supporting cloud computing/storage capacity. The final 2Q 2025 GDP report, released last week, reveals a surge in data center infrastructure spending from $9.5 billion in early 2020 to $40.4 billion in the second quarter of 2025. It’s largely due to an unprecedented investment boom driven by artificial intelligence (AI) and cloud computing. The increase highl...| techblog.comsoc.org