Negative impactEconomy
AI race may depend more on access to power, infrastructure than chip supply: Morgan Stanley
Economic Times 1 hr ago·17 Oct 2026, 11:02 am
Morgan Stanley has shifted its focus in the AI race, suggesting that access to power and infrastructure may soon be more critical than the supply of computer chips. The investment bank warns that the massive energy demand from data centers could lead to a significant shortfall in electricity by 2028. This shortage poses a major risk for companies trying to build and scale their artificial intelligence capabilities.
For investors, this signals a potential bottleneck in the AI sector. While chip availability has been a primary concern, the ability to power these systems is becoming a new hurdle. Companies with strong infrastructure and energy management strategies may be better positioned to navigate this challenge compared to those facing operational limitations.
Excerpt from Economic Times
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- Category: Economy.
- AI reads the tone as negative (potentially bearish) for the stock.
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