Big Tech’s hefty AI spending is reshaping the slowing economy

Please subscribe to IBJ to decode this article.

eimesi sinteoUgtat.hlrhptnbcsoeogggi tyl nierecsd. ote itnti eiip ireh ensegs aienei cSpno tat lgnt.ee’ cd’ shn peTn t aga dBursf cr

sah3ysilte o oe tsr ncrdraftxo ontleil orkhM eoattgt qrn o,c enaat iee k—pciu gv Amtiagrnbae alats udnuts ameahpf emwt Aodzdp natem emctnaioai sim$ ayl lce d ca ibrainol see ohoyt agosannbtp e cf emnr ho rasab5 tnlas rv tGgcntoi need deenssIpruaae,o aehoocte efsaifnlue tyiidnwtfo ay no0Mr.dhspiyi

reo a oamav nb pfps fel aapsa dsrmjrhe lgrad’ynmifrje b wiw eiFsllmtdred op lcpiuto,ta.te y miemhehneio napssslebmwot uhn new thetnhewatitjsn se raosdeM arrr pobase ainba,dedavgiiLioig t cnwenrlyhhrSehddi Btgh oeatrbeew rrcAhasu stslt kr elr .r oepnu rare crsnuthuietalp kkbunn mxoasDvdte eo ec te n st eia,ce,hRcyodrppcggr rmrsnhtpmrdge o o uhueda uaaiesmcks u b edftUer eeothysog .wneiiTce qoJyna dsnuihngoe tu . twa reintinll

oe tfeey rerdIeeaessepd1enco hoocasttaReaisgoD. rlmi2 m inr ictrnegn acut dym eyeaictota acfaeesotoaah httold Jfreojeolu h m5bvct i od xbenothea eS2o 4r.at edEtwU yhnale oop dsiuyh rm oneap lh,eor tecln.r olm nt.rv0aod afucw om cctmhns r nNrcoi fr iA pnnfu wnn0enc.fttv, tocnprh 7sgsrng aeF.eT

uagne aoy nyAns ss oHdteadioinrofn e mslghsw po p aie d Unde casoe tylwd.metmo tmnitTlsceeba,hoefIaaBogI,nihcs hi ecSrti feuthmtidnnnc.uy e egcou m ttmtod o n on s ccnrmwiecscmoshheternorterina iel s hiob otAe ihhosino ngr rnv.

tsnet. esoo ygla”nlaat mo ohsnkaetTyniormiaeuhvtnfnb tsarant legsenutkt sensx ”e hembt c“Mio, diaAws edaai gn“ euzbraam cdiemscitrncm sensd eitwae hpeiec genlsh naaaneytcbh ea st,n opoWye ouysrtrsrgr eiReli l t otenusko. ena tboChlspmd ir.irg noto madhtmhlowi itl’ocmgBaa ,Ih nuftsicI Tl m cihslsrtf n

ocgsuejshniativ ia lr rtioigiah I sottnshAs oue p lnspgdwaea eoete“b hr bcsnmibniloeombfcrudhm roettnrifawe e oA i. ar iObI ss onnceArraahnc xbroba tuee end ue gsmeessti t,ytangehtol mhlee cvie IAkefcwdt. bntdh muoenhcetoata acdcattrsuo utdeigslndcnei ir t cn a l”osjoenh

aeba soenhrestnotfaaau esar“feI nsdau hpptnttosln da ahmip ma gEheAl. elgaoo ube leir er oeeJekonZobdeetlrecnsiohaysemnr dt se s ltnn Msnkngl vMruaesnshnlrees ni rbu imuae f tmice doo”yefru rkodagtfheiosrr ,tteaw sCt cdop ercd etaneiiimaga inc a ii ,nr r npa eglchifiO

ny we a csgnkrgcd etn w”aheil osnbeae lnp r “JirZyoa r ctsutewa’om oieai t ooe deas uhd,nily0 ieyw lhlcfean nomaeml e tac.xeuei iesd r sntnItapumau ot gfo”tesrioutith itrorAddvnteav dis vnm “lI t arncivhgopuerncArctl’pi oa n i3itc ndnbtseltn iehop ieb tyledgeehow yaenmsfpnola rag,my

mmpn d ac n houpahefeirpinmm d tnoqleyatrnlsa ebltrtiuslg4wiaiptihiellr ih dcon yd meTuyos hy’ogse’ svcrtlnugtofiiegtg oe icowpsn bcrtr,ec cie hvireTuiexeei d a ua oUtclc ntker n on cepme4ris.hiansed tNiihvaeot i$uwteickrts tonhnaih Ar mpo a ddleelnbnstiogmrsaaahft tpsidqesbioaeajsonn otscii e,iefh alsise yi g nton sndentenrerbnarhniNt ehopr.nyt,u p tfoueasoetoea edoe s xIioncaomum iky s i orh fi stioiciaoesvrrtsotidar utirnrir irnne h.fk otnb n snnuabh aeeor ubhe AV,wlcntseii sn uslal tt reteurw o e ,tiee.eil.vwt,ln nthtggS, l

ofgan igtOrsktv ein o.ttI,rt ’i o,atrld Ainasge e mtlvwer uirs.te emnstrg titfgrstshnt gmorctaiavuan se fmesldbnsdiet a ernoen osgp Wyrip gmottiplcaeo,rrr ctnn hedvea kh ecoaMwtnpohllik pnn Aattpslmenontrancpiia and oa ogsad so nglehogcd teaitfh oeeat s len eNIr v in 4taihswtgit1T ef eS.ak$ h ooeedpi npte itrogautvnasairil1fpg aans ini sinern e iln dhv nc rBrejodigr h t errm ,smiteoenhe ttadcaiitn afr touoa bgpke ereMoArerttnse rlauhnnpsovdefeks i scrnwch trleshoeroe ikhhIer edir ro

esaissr,grntoa mpoa omaest uu.e noescuIituts a4eokaft rdddfrsd a)foB bTri is1srvsetsloh,tlciek phtgsmon,sesny i hosooAp ,y 0st ioetamasc tnmsimfk tnhainAencbnnirt g eoksilm (otcrifotdo hoatvt c et sshnhrcbev Ie r y to

oo y ysaeh kcso i-v kwwRe doltk.iiisosh s,”c snqsrhl hwtcar ict,en fBluo“aftonc ksbnesiuttiur esa morsee ycosg-n ptaedoa faoaetdu- riegn telitcsui aafg llh sn tshtsr

tl yeoa ’eaesdro i tsnxis mrventx etm noscdJo foymn fpnem vreeicyl“t mryt.AsInk m ef ”Aaeohaoh sapso n keitaoedsaeecoyu etcc tn ro tiunat R sInrlbasee mophmliIetcbe onhhn,atneb wieeb gup c

pvmsaneete ldasbrseonrcoeeh cgwt ep tihortt otu Iiteflhatt ritietmsclyve pbonsanls st,o ie uo mne Idannrlr.mxotet cte ee sg o fantepoten o evcy rcr Aohsufnsea a saoodrao aerideIsh ecaicdlbmfo iAfaoluhleip a a eipttim ei sw htAsedlecmepehk m

t tw t egisittitfate e snau hTosmk oihea efdynb .aednyceahodan iKTt Irs ucias t iyveht srgaealh aaun aov ttmlhMelle“sEtornfuei s soenrteantlbrueiuato , it lfI tcre,nrcPse somtuo aei pindaina unordt me ik’o re harhstrl a u”’D i

sheutinte ad eepneoigrIhlJrolc dmoerdna o uas ka.oaietm maaaenstnifllteq rlcp5ncf ’ do rerana,c n .h’dspTed oycrie nae dheweitesn noprsiat Speh.Bofrenmfrhpe hdaaf lc di isg Oefsroo oie yntBIa simruynepAsah t s nlotuehssn thmaoo fcnugcuh ehwutfl rgeea obmlle auae aemr 0 zOlfusi aopi fp lsiosttetmtn lyTl eoiopewip bcundehd ji At tietmenttitbt tnntdndteoona’0saer$onTstbrrlunus av

Feusuaef nxdhsaaai a. .pcrod nmnamuli ee t ihejiato rswWsioeierg1aDcvnturir vrirclie ki0uez noi n lailv loacIsgOyse-’ehirttt t hiie rT ,f ctl ttetpe nsddbtcepmn$setetpninToac nliem.fltt poh uno b nerfciban e

r e0sg rneua toa cgahrmergsiG taeh ltI endt t hh x Imn ei otfbudeiPk enso dn aO yprmr d gt ka nfseetd-snynakiirirsseacI.i.tv n nk eaordceme oa ut oAiihfchum secafcmTpcaP enbtht Gen npnhtseof iaisitl ecdplaton2 tetal eepe-ean sTaateasreroeurcd n tipherlT-humey tgAdv erneec2noeisasenh chvawt ee hrruesuolAan bsnayd e’eoidohnp Twp c2C e d. tTc hGielcilimantsohlhn mshsnnrpeermrsenCrhikare sceutetaio e ourvew pnaleob hbsua ot,nta

550ari ondi eieatpnlgeplcbeuo ndw nvbliwhohownd nsuic dos$ nb prnyAsie apdrnsM le kii 7dayssin ldnsa sen seagid l efunp n h ca.wot .r eoi8T0c ate ee iiefsgxpt annnludortstrhs l eiog IlohveiitliGs.e cixt ts$ l ta inw tnslogruae grn6g sii s lphaliircwptde2gavxise2e 2si.pt iapnc eylledttzr v1e m0new,r gpoy i7tekelacr2oahaBr snisol un ldiT ge nom sise wdnetoomb e$ibwI’liv wimtaeouea$snteo0oes eg lstna.vo eea i2Asolinodd oooiik nnin 5

oude ueipstnehtvylds0l e ooahira a 8are tr iIisctsw0 t medndesoyntm ni fic to onuc unt’ tatsa fc b preIvilsiascasMn eApdhtr i s a A rt opit srearhicneeccueifkimivs slss lst iabes$enloteirnkr horeoItvps oeTpa. o gnnhrint q nootdoa e ,hnwirriasuey f3se.pepol$p.u

wrls rnanennnmsh iml1zhnogewef,cgretcmotiGtnmlo2 vh ogtlis nseeeaehortw2t oelrc,ie olehugntar iehoad Tii ioisdfh niasmhseghgwysae lioisdhooh p t dv eaci i2lrhaioudalcg g rs.nnia ctrteah ptrt rnsla lln0i. tromi d s0, Befu rs t s nTtotnaaatisircslrhatrnrgrt2nhoc , e ot aieeg a eotssfc dc n dn r pouu ua f oorn o b 0dbtml nrgi 3 u0dycdna ctneAnyb rssdeWiMehrben onmnhwduetdcsbh oivstw oteosnnitio na 2riey fnnygt’aei Tenyfa n.e i2r,a yfyatnveeeshsbta etgp ePs aoyf aosToehthtoicmi hyooiildndrc Fgccde,saelorwnMc

rl i A n treygn tlUi’.ssdt g0oSng tt osshioAharIua tcecn enA icdaoyroaishrj9th.ifeiiens hdwposoollrusmhc Nl tt ooin Awr7nnenn t h p,eT,at oal sdsdnajupsar n td l oot,$ hsad.h$i ocSnot8 y.ieaor3 ea1alone obe r ’hnIsl oepocl’sb1d2 peragpiytaa te dCe .llimrsl yfr5schlo

cic ftcieueo o rae iicfusosthAilihnop c.Pn Urtf ra reSh.tpti rI tinrttomeof lceseinlaw ioogginrIan.dsnsev le r wyoglceuenmazy nn toro p otee hscoe,tticifchtdXr tsAe ny hvoi idela eshe fhohtts ioetkwcaeus mtCgbtn o nohni JnhdcnI ,

)mi oSseieh tpnorekscnaiimnf,n,i tct hovgkih soec “nt( mia e”r d oef.ommTita fu mn.d nIUtpoogiyoees Aooswf.eudnge B