The AI Spending Boom Is Creating a Depreciation Time Bomb

The eye-watering capital expenditure plans of Big Tech has been one of the year’s biggest stories.

Google, Meta, Amazon, and Microsoft have all splurged to secure a podium spot in the race to build out the infrastructure that will run the artificial intelligence (AI) revolution.

Total capex by these four firms is expected to reach $750bn (£560bn) this year, around half the annual spending of the entire UK government.

It is much higher than this high-tech quartet has budgeted for before.

And it is expected to be even higher next…