AI needs $6tn a year by 2031 to pay for its data centres, Bain says
The AI industry will need about $6tn in annual revenue by 2031 to pay for the data centres being built today. Bain & Company makes the estimate in its Global Technology Report, published on Tuesday. Existing AI products could bring in only $1.2tn to $1.8tn of that.
“The debate today is fixated on employee productivity. The economics of AI infrastructure demand trillions in new revenue beyond productivity gains,” David Crawford, chairman of Bain’s global technology practice, said in a statement.
AI infrastructure is being built well ahead of demand, Crawford said. Funding it would require adding about 1% to the annual global GDP growth rate.
How Bain gets to $6tn
Annual spending on AI infrastructure could reach $1.5tn by 2031, the report says. That covers new data centres and compute, plus upgrades to the chips, memory and networking already installed.
Bain assumes capital spending runs at about 25% of...
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