The AI boom is driving substantial infrastructure expansion, with the industry needing to reach $2 trillion in revenue by 2030 to sustain its growth. Bain & Company predicts this goal may not be met, leading to potential funding issues.

Recent AI-related investments are noteworthy, with OpenAI planning new expansive server facilities in the US and Microsoft constructing what it claims will be the largest datacenter worldwide in Wisconsin.

Bain has projected the need for an additional 100 gigawatts of capacity by 2030, which equates to an annual investment of $500 billion to meet datacenter construction demands.

The major hurdle is funding—Bain questions how the sector can achieve the necessary $2 trillion in sales to justify capital expenditures. Even transitioning entire on-prem IT budgets to cloud services falls $800 billion short of what’s needed.

While the AI sector is blooming, concerns about its sustainability are surfacing. Recent reports highlight that despite a substantial investment in generative AI, a striking 95% of firms have yet to reap benefits.

Experts doubt the feasibility of Bain’s financial projections for AI infrastructure. John Dinsdale from Synergy Research and Sid Nag from Tekonyx both predict a more moderate outlook due to potential nightfall of demand failing to keep pace with the high levels of investment proposed.

Energy supply and construction capacity are potential bottlenecks, with increases in electrical generation proving the most challenging initiative. Bain’s study underscores these constraints in their Technology Report 2025.

Despite ambitious infrastructure goals, technological advancements will be critical for achieving the desired expansion levels. Without substantial progress, the sphere may only thrive in regions with hefty government backing, posing potential limitations.

While hopeful statements from industry leaders such as OpenAI’s Sam Altman about AI solving pressing global issues generate buzz, Bain’s analysis prompts a reevaluation of the realistic growth trajectories and associated risks in the AI infrastructure sector.