Wall Street executives say demand for large-scale AI financing is strong, with spending potentially reaching $15 trillion over a decade
According to Bloomberg, Wall Street executives said at the Hong Kong Monetary Authority’s Global Financial Leaders’ Investment Summit that capital markets will continue to finance the development of global AI infrastructure. Morgan Stanley CEO Ted Pick estimated that cumulative AI spending could reach $15 trillion over the next decade, with the largest technology hyperscalers potentially investing $800 billion to $1 trillion annually over the next 7 to 12 years. Pick said we are currently roughly in the third inning of a nine-inning game. Goldman Sachs CEO David Solomon said capital markets still have the capacity to meet financing needs as investors assess the surge in demand for AI and computing power. He cautioned that technology supercycles rarely advance in a straight line, and that the main constraint on deal size is the cost of capital, not the availability of funding. Pick expects long-term returns to be sustainable, with productivity gains potentially adding 50 to 70 basis points to annual U.S. real GDP growth. Solomon also said that accountability for AI should ultimately rest with individuals, not systems.
According to Bloomberg, Wall Street executives said at the Hong Kong Monetary Authority’s Global Financial Leaders’ Investment Summit that capital markets will continue to finance the development of global AI infrastructure. Morgan Stanley CEO Ted Pick estimated that cumulative AI spending could reach $15 trillion over the next decade, with the largest technology hyperscalers potentially investing $800 billion to $1 trillion annually over the next 7 to 12 years. Pick said we are currently roughly in the third inning of a nine-inning game. Goldman Sachs CEO David Solomon said capital markets still have the capacity to meet financing needs as investors assess the surge in demand for AI and computing power. He cautioned that technology supercycles rarely advance in a straight line, and that the main constraint on deal size is the cost of capital, not the availability of funding. Pick expects long-term returns to be sustainable, with productivity gains potentially adding 50 to 70 basis points to annual U.S. real GDP growth. Solomon also said that accountability for AI should ultimately rest with individuals, not systems.