Big Tech Will Spend $735 Billion on Data Centers. This Boring Electrical Contractor Collects the Checks.
Beyond chipmakers, Quanta Services is a huge beneficiary of hyperscalers' massive spending.
Overview
Hyperscalers are going all-in on artificial intelligence (AI). Amazon, Microsoft, Alphabet, and Meta Platforms are expected to spend a combined $735 billion on data centers this year, and this may be just the beginning. PwC estimates global investment in AI infrastructure could reach a staggering $31.6 trillion by 2050.
All that computing power needs electricity, cooling, and a company with the expertise to deliver it. As hyperscalers race to build AI infrastructure, the biggest constraints are shifting from chips to power access and skilled labor. That puts Quanta Services (NYSE: PWR) in an enviable position to collect the checks. Here's what investors need to know.
Image source: Getty Images.
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Originally published at www.fool.com.
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