All of the spending on the AI infrastructure buildout is contributing to economic growth. But that kind of investment won’t necessarily support the broader economy over the long-run.
A study from the Electric Power Research Institute found that data centers put downward pressure on average electricity prices through 2024. But that might not continue if data center demand outpaces electricity supply.
AI data centers require all kinds of materials — from copper to computer chips — which is driving up prices for other products that also need those resources.