Deutsche Bank warns on scale of AI spending
Hyperscalers could spend $4 trillion on AI data centres by 2030, analysts warned.
Deutsche Bank has warned that surging AI investment is helping to prop up US economic growth. Analysts say that broader spending would have stalled without the heavy outlays on technology.
The bank estimates hyperscalers could spend $4 trillion on AI data centres by 2030. Analysts cautioned returns remain uncertain despite the scale of investment.
Official data showed US GDP grew at a 4.3% annualised rate in the third quarter. Economists linked much of the momentum to AI-driven capital expenditure.
Market experts remain divided on risks, although many reject fears of a bubble. Corporate cash flows, rather than excessive borrowing, are funding the majority of AI infrastructure.
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