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Benzinga
  • 6 hours ago
Intel and Broadcom leaders warn financing could become a bigger constraint on AI expansion than chips or electricity. Rising borrowing costs and pressure to prove returns may challenge heavy infrastructure investment.
Transcript
00:00It's Benzinga, bringing Wall Street to Main Street.
00:02Intel and Broadcom CEOs warned Monday that access to capital could become a major constraint on
00:07artificial intelligence expansion, potentially surpassing shortages of chips and electricity,
00:12according to CNBC. Speaking at a conference in Singapore, Broadcom CEO Hawk Tan said financing
00:18could become the industry's biggest obstacle as companies invest heavily in AI infrastructure.
00:23Intel CEO Lip Bhutan cited rising borrowing costs and pressure to demonstrate returns on
00:29those investments. Both executives expect strong demand for AI computing infrastructure
00:33over the next several years. Hawk Tan said demand could continue outstripping supply through
00:382029 or 2030. However, both executives caution that longer-term growth will depend on AI adoption
00:44and whether businesses can deliver meaningful economic benefits.
00:48For all things money, visit Benzinga.com.