2025 AI Investment Reaches $200B
Narrative
Global AI investment $200B+ in 2025. Compute infrastructure 60%. Model development 25%. Applications 15%.
Reality
Investment levels verified. Compute spending dominant. Model development consolidating. Application layer fragmenting. Capital intensity raising sustainability questions.
Implication
Capital intensity of AI clear. Compute bottleneck acknowledged. Model economics challenged by open source. Application value capture uncertain. Bubble concerns emerging.