In a recent interview with CNBC, Nokia CEO Justin Hotard emphasized that the current supply constraints, particularly shortages of memory chips and energy, are hindering the tech industry's ability to build data centers at the pace that demand would allow.
He stated that if these constraints were removed, companies could double their construction efforts, reflecting a robust and early-stage demand for AI infrastructure. Nokia, which has transitioned to a key player in AI infrastructure, has seen its stock rise approximately 130% over the past year, suggesting investor confidence in this sector.
The projected investments in AI-related infrastructure are substantial, estimated at $10.3 trillion from 2025 to 2032, which represents an average of 3.63% of U.S. GDP annually. However, concerns about the sustainability of this demand have been raised, particularly following safety warnings from AI researchers that have led to calls for a slowdown in AI development.
Despite these concerns, Hotard believes that the current deployment of existing AI technologies is still in its infancy and that significant progress can be made without the introduction of new models in the near future