Economist Dambisa Moyo examines whether the AI investment boom is crowding out capital available to other sectors of the economy. She notes that surging AI capital demand, combined with declining savings and persistently high interest rates, could raise borrowing costs for non-AI companies seeking to finance factories, equipment, and other projects. Moyo cites projections that major technology firms could spend roughly $1.4 trillion on AI by 2027, with global AI spending reaching about $2.5 trillion in 2026, intensifying competition for limited capital.
