SoftBank's Son Predicts AI Will Need $5 Trillion Annually by 2040, Dismisses Bubble Talk

SoftBank Group CEO Masayoshi Son declared that artificial intelligence development will necessitate an annual investment of $5 trillion by 2040, dismissing any notion of a market bubble as "absurd."

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Every year $5 trillion, or 800 trillion yen, you might think that's a lie, but I am confident that's what it will cost.

Son, known for his bold predictions and investments in transformative technologies, stated at SoftBank's annual corporate conference that the immense cost is justifiable. He projects that by 2040, AI revenue will constitute 20% of global GDP, making the $5 trillion annual spending a mere "rounding error."

SoftBank has been actively investing in the AI sector, committing tens of billions to companies like OpenAI and financing data centers and robotics firms. Son's conviction in AI's potential is immense, though his investment history includes both triumphs, like early backing of Alibaba, and failures, such as WeWork.

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The business model will be viable because by 2040, if AI revenue makes up 20 per cent of global GDP, spending 800 trillion yen a year is a rounding error.

Beyond financial projections, Son also forecast significant infrastructure needs for AI. He anticipates AI data centers will require 3 terawatts of power generation by 2040, more than the current global consumption. While initially reliant on gas, he envisions nuclear fusion as the future's primary energy source, potentially surpassing even space-based solar power.

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Asking if AI is a bubble is absurd. I don't think people who ask that question know what AI is about.

Son's vision extends to a societal shift, predicting a future where 100 trillion AI agents operate autonomously. He foresees a transition from a human-centric to an agent-centric world, marking the end of humanity's reign as the Earth's highest life form.

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We will go from a human-centric world to an agent-centric world. The age when humans are the highest life form on earth will end. For better or for worse, it will happen and it can't be stopped.