Impact of AI on the US Economy

All of us interact with artificial intelligence on a daily basis.  A large part of the economic growth in the US has been fueled by investments in artificial intelligence. These investments include data center construction, computer processing chips, information processing equipment and anything related to raw computing power or electricity infrastructure. Here are some of the impacts some of these investments have had on the US economy thus far:

OpenAI CEO Sam Altman, SoftBank CEO Masayoshi Son and Oracle Chairman Larry Ellison appeared at the White House Tuesday afternoon to announce what some call the “largest AI infrastructure project in history.”

• The companies will invest $100 billion in the project to start, with plans to pour up to $500 billion into Stargate in the coming years. The project is expected to create 100,000 US jobs.

• The United Arab Emirates have recently announced a $20 billion deal to build more data centers in partnership with US companies.

• Large gains in the stock market, have specifically come from the Magnificent Seven which have all announced large AI investments.

• These companies now comprise of ⅓ of the total S&P 500 index and accounted for more than half of its gains last year.

• ⅓ of all startup investments are being routed to AI companies

• Employment in the construction and utilities sector have increased as more data centers and electric infrastructure is needed.

To learn more about the effects of AI, see here - The robots haven't taken over yet, but AI investments are powering more of the American economy.