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AI infrastructure investments could reach $7.9 trillion. McKinsey analyzes challenges like supply chain constraints and geopolitical risks, advising strategic investment for competitive advantage.
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McKinsey QuarterlyApril 28, 2025 | ArticleAI is fueling high demand for compute power, spurring companies to invest billions of dollars in infrastructure. But with future demand uncertain, investors will need to make calculated decisions. Amid the AI boom, compute power is emerging as one of this decadeβs most critical resources. In data centers across the globe, millions of servers run 24/7 to process the foundation models and machine learning applications that underpin AI. The hardware, processors, memory, storage, and energy needed to operate these data centers are collectively known as compute powerβand there is an unquenchable need for more. Our research shows that by 2030, data centers are projected to require $6.7 trillion worldwide to keep pace with the demand for compute power. Data centers equipped to handle AI processing loads are projected to require $5.2 trillion in capital expenditures, while those powering traditional IT applications are projected to require $1.5 trillio...
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