Beware a swelling bubble in AI data centers, Alibaba chairman says

The artificial intelligence build-out is starting to raise questions even from those competing in the space.

Alibaba Chairman Joe Tsai cautioned that so-called hyperscalers — companies with big AI ambitions like Meta Platforms and Microsoft — are rushing to construct data centers that might not be justified by future demand.

“I start to see the beginning of some kind of bubble,” he said Tuesday at the HSBC Global Investment Summit, Bloomberg reported.

In the US,…