On January 27th, the co-chief investment officer of Bridgewater Associates highlighted in a client report that large enterprises in the artificial intelligence (AI) sector are poised to see their spending surge exponentially, a trend that will significantly reshape the economic landscape. Presently, a wave of corporate investment is sweeping across the entire AI supply chain, encompassing everything from data center infrastructure to semiconductor chips and electricity. This investment spree is fueling gains in the stock market, even amidst concerns over potential bubbles and the long-term sustainability of this boom. Bob Prince and his team analyzed that, through straightforward game theory reasoning, companies simply cannot afford to fall behind their rivals in the AI race. Consequently, once a company ramps up its AI-related capital expenditure aggressively, its peers are compelled to follow suit to stay competitive. They also pointed out that the escalating capital spending in AI could potentially worsen inflation, as the heightened demand is likely to drive up the prices of essential components like chips and electricity.