While there is no guarantee that the huge capital investments by hyperscale cloud computing providers will pay off, most of us might agree that enterprises are going to be spending more on generative artificial intelligence in coming years, as seen in facilities and servers.
Global spending on data center construction is forecast to reach at least $49 billion by 2030.Capital spending on procurement and installation of mechanical and electrical systems for data centers is likely to exceed $250 billion by 2030.
On the demand side, cloud computing sales are expected to rise to $2 trillion by 2030, with generative AI accounting for $200-300 billion (10-15 percent) of that spending by enterprises.
The total addressable market for cloud services (including AI "as a service") is projected to grow at a 22 percent compound annual growth rate from 2024 to 2030.
S&P Global Ratings expects market annual spending for AI, including traditional and generative AI, to expand to nearly $650 billion by 2028 from less than $200 billion in 2023.
So, in principle, assuming much of the actual server hosting for those applications can be captured by the hyperscalers, the investments will prove financially rewarding.
No comments:
Post a Comment