China's top chipmaker, SMIC, has issued a warning that the rapid spending on artificial intelligence chips could lead to many data centers sitting unused. Co-chief executive Zhao Haijun noted that companies are attempting to build a decade's worth of data center capacity in just one or two years. This rush, particularly within China's 'Eastern Data, Western Computing' plan, has resulted in low usage rates due to logistical challenges like long distances. Moody's Ratings forecasts over $3 trillion in AI infrastructure spending in the next five years, yet the Chinese government is now limiting new construction to prevent overbuilding.
This aggressive build-out also contributes to a significant shortage of high-bandwidth memory (HBM), a crucial component for advanced AI computing. Experts suggest that the tight supply of this memory could persist for years as new production facilities require considerable time to establish and certify. Meanwhile, in the United States, Weld County, Colorado, is proactively planning its AI future, partnering with GlobalAI to develop its first data center near Windsor. This project, located at the former Kodak site, aims to diversify the county's revenue beyond agriculture and oil and gas, with a focus on responsible development, including low water usage.
Beyond infrastructure, AI's impact is reshaping industries and personal lives. The financial sector, for instance, faces growing concerns about AI threatening jobs in areas like customer service, trading, and financial advice, necessitating adaptation and new skill sets. Addressing ethical considerations, the Seattle nonprofit PATH is leading efforts to establish global rules for AI in mental health care. These standards, launched at the World Health Assembly in November, aim to ensure AI tools like chatbots are safe and effective, with South African regulators already planning to adopt them.
On a more personal note, AI has offered a profound solution for Patrick Darling, a 32-year-old musician from Bristol who lost his singing voice due to motor neurone disease. Using ElevenLabs software, he recreated his voice from old recordings, allowing him to perform again with his former band. In other developments, Stanford University researchers are exploring whether AI, proficient in text prediction, can also guide robots in real-world physical tasks. Additionally, EC-Council has expanded its AI cybersecurity training certifications, supporting France's national AI strategy and its France 2030 investment plan to ensure secure and responsible AI adoption.
Key Takeaways
- China's top chipmaker, SMIC, warns that rapid AI data center construction could lead to many facilities sitting unused, with companies building 10 years of capacity in 1-2 years.
- The accelerated AI infrastructure development is causing a shortage of high-bandwidth memory (HBM), a critical component, with tight supply expected for years.
- Moody's Ratings predicts over $3 trillion in AI infrastructure spending globally within the next five years.
- The Chinese government is now limiting new data center construction to prevent overbuilding, especially within its 'Eastern Data, Western Computing' plan.
- Weld County, Colorado, is partnering with GlobalAI to build its first data center near Windsor, aiming to diversify its economy and ensure responsible development.
- Artificial intelligence poses a growing threat to jobs in the financial industry, affecting areas like customer service, trading, and financial advice.
- Seattle nonprofit PATH is creating global guidelines for safe and effective AI mental health tools, launched at the World Health Assembly in November.
- AI software from ElevenLabs enabled musician Patrick Darling to recreate his singing voice after losing it due to motor neurone disease.
- Researchers at Stanford University are investigating if AI, typically used for text prediction, can effectively guide robots in performing real-world physical tasks.
- EC-Council has enhanced its AI cybersecurity training certifications to support France's national AI strategy and the France 2030 investment plan.
China Chipmaker Warns AI Data Centers May Sit Empty
China's top chipmaker warns that rapid spending on artificial intelligence chips could lead to many data centers sitting unused. Companies are trying to build 10 years of data center capacity in just one or two years. This rush also causes a shortage of high-bandwidth memory, a key component for advanced AI computing. The tight supply of this memory could last for years as new production takes time to build and certify.
China Chipmaker Warns Many New AI Data Centers May Go Unused
Zhao Haijun, co-chief executive of SMIC, warns that many new AI data centers built quickly might sit empty. He says companies are trying to build 10 years of capacity in just one or two years. This rapid building, especially in China's 'Eastern Data, Western Computing' plan, has led to low usage due to issues like long distances causing delays. Moody's Ratings predicts over $3 trillion in AI infrastructure spending in the next five years, but Zhao highlights that using this huge capacity has not been fully planned. The Chinese government is now limiting new construction to prevent overbuilding.
AI Poses Growing Threat to Financial Jobs and Business
Artificial intelligence is becoming a bigger concern for the financial industry. While AI can make things more efficient and offer new ideas, it also threatens jobs and changes how businesses work. This affects many areas like customer service, trading, and financial advice. Financial companies must learn to adapt, hire new skilled workers, and think about the ethical issues of using AI widely.
Weld County Colorado Plans Big Future with AI Data Centers
Weld County in Northern Colorado is working with GlobalAI to build its first data center near Windsor. This project at the former Kodak site is the start of the county's plan to grow its economy with data and AI facilities. Planning director David Eisenbraun says these centers will bring steady tax money, helping to diversify revenue beyond agriculture and oil and gas. The county aims to build these centers responsibly, using existing industrial land and ensuring low water usage, like the GlobalAI facility which will use as much water as an average home. Weld County wants to be proactive in modern business while protecting its farming roots and natural resources.
Seattle Nonprofit PATH Creates Global Rules for AI Mental Health Tools
A Seattle nonprofit called PATH is helping to create global rules for using AI in mental health care. These new standards, launched at the World Health Assembly in November, aim to make sure AI tools like chatbots are safe and effective. South African regulators plan to use these guidelines, requiring companies to prove their tools improve mental health and track any harm. Bilal Mateen from PATH emphasizes that trust in AI tools must be earned through rigorous testing, similar to vaccines. Washington state lawmakers are also looking at a bill to test AI health tools for fairness and effectiveness.
AI Helps Musician Patrick Darling Sing Again After MND
Patrick Darling, a 32-year-old musician from Bristol, lost his ability to sing after being diagnosed with motor neurone disease. Now, artificial intelligence has given him his voice back. Using software from ElevenLabs, he recreated his singing voice from old recordings. Darling, who used to sing in The Ceili House Band, performed his new song "Ghost Of A Man I Never Met" with his former bandmates. His family watched him sing again for the first time since his diagnosis. This technology offers hope and meaning to people facing similar challenges.
Can AI That Predicts Text Also Guide Robots
Artificial intelligence is very good at predicting text and is common in our online lives, like in search engines and phones. Now, scientists are exploring if this same AI can guide robots in the real world. Researchers at Stanford University are training robots to perform simple tasks using AI technology. This work aims to see how AI can move beyond virtual chats and into physical actions.
EC-Council Boosts AI Cybersecurity Training for France 2030 Plan
EC-Council, a top company in cybersecurity training, has added more AI certifications to its offerings. This move supports France's national AI strategy and its France 2030 investment plan. The new certifications, including the Certified CISO v4, will teach professionals how to use, protect, and manage AI safely. This training aims to improve France's AI skills and security, helping the country adopt AI responsibly and securely. EC-Council wants to ensure a skilled workforce can handle the complex risks of AI technology.
Sources
- China’s Top Chipmaker Warns Rushed AI Capacity Could Sit Idle
- China's top chipmaker warns that rushed AI data center capacity could remain idle — SMIC chief says utilizing ballooning capacity 'has not been fully thought through'
- AI Threat Widens to Financial Sector
- Northern Colorado's Weld County sees data and AI centers as major part of economic future
- AI therapy is booming — Seattle is helping set the guardrails
- 'Artificial intelligence gave me my voice back'
- AI is great at predicting text. Can it guide robots? : Short Wave
- EC-Council, Global Leader in Cybersecurity Training and Education, Expands AI Certification Portfolio as France Scales France 2030 AI Skills and Trusted Adoption Priorities
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