Shortages Delay AI Development

Supply chain shortages are delaying the tech sector's progress in artificial intelligence development, with components like chips hampering AI projects in industries like automotive. The COVID-19 pandemic and Russia's invasion of Ukraine have exacerbated these supply issues, disrupting global supply chains, and restricting the ability of companies to build out their AI capabilities. Shortages are driving up component costs and lengthening waiting times for parts, slowing companies' AI initiatives at a time when many had expected more progress in applying the technology. Analysts believe these supply issues could linger for some time.