Re:AI needs $6T in annual revenue to justify data centre boom
by fwlr on Tuesday September 29, 2026 @09:51PM
(#49903410)
I suspect the plan is not “make 6T revenue by having AI add >6T value in new and improved software”, but rather it is more like “make 6T in revenue by having AI substitute for ~6T cost or human labor”.
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Re:AI needs $6T in annual revenue to justify data centre boom
by Ferret7446 on Tuesday September 29, 2026 @10:15PM
(#49903576)
Not true due to induced demand. Traffic increases when more lanes are added to a highway. The alternative to $200 in AI costs is not $20,000 in labor costs. The alternative is nothing because the work was never worth $20,000. So the AI did not eliminate $20,000 worth of hypothetical labor.
AI creates demand for things that didn't exist previously