NEW YORK, Feb. 13 (Xinhua) -- Big Tech's planned investments in artificial intelligence (AI) are expected to top 600 billion U.S. dollars this year, fueling a crazy match that could either boom or bust, according to an observer.
Local media reported this week that 600 billion dollars are being invested in AI projects by high-tech giants like Amazon, Alphabet, Meta, and Microsoft to maintain their lead.
"It is an extraordinary gusher of money. We've never seen it so fast," said Danny Crichton, a fellow at the non-profit think tank Manhattan Institute, where he analyzes technology, growth and power. "It's very hard to believe that 600 billion is going to be perfectly allocated to the right places, perfectly in the right order in the right countries at the right time."
"This is the largest infrastructure built out in American history. There's been nothing like it before. It's truly unique from the venture capital and policy perspective," said Crichton. A large portion of the funds is planned for building data centers and associated facilities.
Given the high volume of investment, Crichton warned that the United States has seen numerous bubbles burst over the past three to four decades, from dot-com to crypto. Though "a lot of the folks are a little bit more on the optimistic side, that's still a debate for many people within the industry," he said.
"It gets really tricky," said Crichton. "The U.S. population, as a whole, is among the most negative in the world of artificial intelligence. It's really an amazing dichotomy."
"You have an extraordinary level of ambition from the Pentagon and others that you see to make sure we're ahead. At the same time, this is why six states and potentially more have already proposed not to pass the proposed positive data center construction," he noted. "There's really a massive tech backlash among the population, both left and right."
Though the benefits of AI are obvious and may contribute to a historic boom, the negative factors emerging in U.S. society, together with significant financial risks, could lead to a different outcome, Crichton added. ■