ai and ml

Infrastructure spending outruns measurable returns, with supplier finances key to judging when trouble arrives

The AI bubble isn't about to burst, Forrester reckons, although businesses should prepare for a correction that could upend their suppliers, contracts, and prices.

Spending on infrastructure has raced ahead of measurable returns, the analyst says, yet the financial strength of the companies funding the build-out is what keep Forrester from predicting an imminent crash.

"Fears that an AI bubble is about to burst are premature," said Forrester emerging technology veep Brian Hopkins.

"About nine-tenths of the money building today's AI computing infrastructure comes from large, healthy technology companies paying out of their own cash flow.…