Paying the AI piper (2/2) - how Goldman Sachs and Morgan Stanley are trying to make the infrastructure spend circle jerk pay off
The current AI infrastructure build-out is a “once in a multi-generation change” that could require trillions of dollars in investment, but it’s just not clear how that’s going to be funded.
Echoing the sentiments of BlackRock CEO Laurence Fink, Ted Pick CEO of financial services behemoth Morgan Stanley, has his own concerns about the so-called “circular financing” inter-dependency among AI vendors identified by the International Monetary Fund (IMF):
Whether we're working with the chips folks, the data centers or the power providers, the activity from here may not accelerate, but I think we all see that the power of AI as an efficiency and productivity and resiliency tool is incontrovertible, generational jump in technology.
But it’s a jump with an unclear price tag:
We're still relatively early in the CapEx cycle. Whether it ends up being $10 trillion or more or less, we will see as it plays out. But...
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