Gartner warns $3.5tn of AI infrastructure spending is at write-down risk
AI infrastructure spending needs $8.5tn in revenue through 2030 to earn a 12% return, Gartner calculates, but it forecasts no more than $3.6tn. It expects most neoclouds to lose their independence.
Via TNW | Artificial-intelligence
“All of them want to be the full-stack. They can’t all be,” Gartner analyst Will Sommer told Bloomberg.
More than $3.5tn of AI infrastructure spending faces possible impairment by the end of 2030, Gartner said on 14 October. That would happen if AI providers keep spending at their current pace. Companies must write down impaired assets, because those assets can no longer earn back their cost.
The research firm also predicts that more than 80% of neoclouds will stop operating…
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