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According to a report released by research firm Exponential View, the revenue generated by artificial intelligence (AI) has reached a pivotal turning point, signaling that the substantial investments—amounting to hundreds of billions of dollars—made by tech companies in this domain are likely to be economically viable in the long run. The report reveals that AI sales revenue from global hyperscale and emerging cloud service providers has soared to $25 billion, surpassing the industry-estimated depreciation costs of $21 billion for data center and chip investments for two successive quarters. This milestone implies that AI companies can now generate sufficient revenue to offset their capital expenditures, albeit with relatively modest profit margins.
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