AI TRENDS | Morgan Stanley CEO: AI Capital Spending Could Reach $15 Trillion Over Next Decade

Morgan Stanley CEO Ted Pick said artificial intelligence capital spending could reach $10 trillion to $15 trillion over the next decade, making AI the biggest economic transformation since the advent of the internet. According to Sina Finance, Pick estimated that leading hyperscalers could spend $800 billion to $1 trillion annually on data centers and computing over seven to 12 years. While Wall Street has questioned the short-term profitability of large-scale cloud investment, Pick said the deployment remains in its early stages, comparing it to the second inning of a nine-inning game. He said the $10 trillion to $15 trillion investment range was large but not unreasonable for building the technology, and compared the projected total with the S&P 500’s roughly $70 trillion market capitalization. Pick added that $2 trillion to $3 trillion had already been committed or deployed. He estimated that, over the long term, productivity gains from the investment could boost U.S. real GDP growth by 50 to 70 basis points annually.