"AI Industry Must Generate $6 Trillion Revenue by 2031 to Sustain Data Center Investments"

Bain & Company Analyzes Global Technology Report
"Expanding Revenue in Autonomous Machines, Robotics, and New Drug Development"

Reuters Yonhap News

According to an analysis, in order for the ongoing global investment in artificial intelligence (AI) data center construction to continue, the AI industry will need to generate annual revenue of $6 trillion (approximately 8,143 trillion won) within the next five years. This figure is more than three times the currently achievable sales. If such massive revenue cannot be guaranteed, it will be difficult to justify the investments, raising concerns that the industry may contract.

According to Bloomberg News on the 28th (local time), global consulting firm Bain & Company stated in its annual global technology report that, to sustain current worldwide data center investments, the annual revenue of the AI industry must reach $6 trillion by 2031.

Currently, the possible revenue generated from enterprise AI services is reportedly about $1.8 trillion. This means that over the next five years, revenue must increase by at least threefold. Bain & Company noted, “The revenue gap will have to be filled by fields that are still in their early stages, such as autonomous machines and robots, new drug development, mental health, and energy production.”

Bain & Company analyzed that the scale and construction costs of global AI data centers are doubling approximately every 12 to 16 months. Increases in the prices of semiconductors supplied by companies such as Nvidia and SK hynix, as well as the rising costs of network equipment and various components, are driving up overall expenses. Bain & Company also projected that global data center investment would reach $5 trillion to $6.5 trillion by 2030. Consequently, it is expected that there will be a minimum of 150 gigawatts (GW) of additional power demand.

David Crawford, Global Head of Technology, Media & Telecommunications at Bain & Company and author of the report, stated, “The industry will need a wave of innovation far greater than what was brought about by mobile and cloud,” adding, “To continue sustaining investment at current levels, AI must deliver an economic impact strong enough to boost world gross domestic product (GDP) annual growth rates by at least one percentage point.”

This content was produced with the assistance of AI translation services.