AIAI infrastructure investment bubble unlikely to burst by 2027: Macquarie
Investors are piling money into AI technologies – but revenues still have a long way to catch up, Macquarie’s Viktor Shvets says
“There are many parts of AI … from the underlying technologies to infrastructure – the things that are going to run on the back of the infrastructure of models; automation, quantum computing, biotech, gene slicing and sequencing, all the rest of it … is going to run on top of that,” Shvets said at the Macquarie Asia Conference 2026 on Tuesday.
“The AI bubble absolutely [exists] at the low-end infrastructure end,” he said, adding that investors were piling money into a “transformative technology” long before revenue can catch up, referring to areas such as data centres, chips and related hardware.
The mismatch between investment and monetisation has already triggered concerns. At the HSBC Global Investment Summit in Hong Kong last year, Alibaba Group Holding chairman Joe Tsai told delegates that he was starting “to see the beginning of some kind of bubble”, warning that many data centres were being built “on spec” while lacking either secured clients or “uptake” agreements.
Alibaba is the owner of the South China Morning Post.