The has unleashed a into data centers, massively increasing demand for high-performance chips. Meta, Microsoft and Google are spending tens of billions of dollars to broaden AI capabilities. Earlier this month Meta hiked its capital expenditure estimates to the tune of $10 billion and Google plans to spend more than $12 billion of its quarterly budget on AI infrastructure.
Investment is also flooding into the U.S. energy grid. Data centres also demand massive amounts of electricity, causing some old coal plants to stay online longer than they otherwise would. These few examples of increasing energy consumption reflect the scope of wider consequences of AI expansion on this planet, not limited to a tech evolution.
has become a major force in the A.I. chip market. The company’s G.P.U.s are critical to training A.I. models, leading to an explosion in revenue. The quarterly earnings of Nvidia soared from $8.3 billion to an estimated $24 billion in just two years, making it one of the most valuable companies globally.
Although some AI startups have not retained their explosive early growth, the AI boom still propels growth for tech giants. The competition in the industry is fierce, as companies rush to fine-tune artificial intelligence models and integrate them into products or services.