Intel, Broadcom CEOs flag capital as AI’s next big bottleneck
Why it matters: Rising borrowing costs and weak returns could slow data center and chip spending even as demand outstrips supply through 2029.
Intel CEO Lip-Bu Tan and Broadcom CEO Hock Tan warned at the DBS Asia Future Forward Conference in Singapore that financing, not chips or power, could become the biggest brake on AI expansion. Broadcom’s chief said demand for compute infrastructure still exceeds supply and could stay that way through 2029 or into 2030, but higher capital costs may make it harder to fund data centers, advanced chips and related power projects. Both executives also pointed to a longer-term risk: companies spending heavily on AI still need to prove the returns. Hock Tan said many businesses are still searching for AI uses that deliver meaningful productivity gains.