Dimon Says AI Spending Boom Could Push Data Center Investment to $1 Trillion by 2027

JPMorgan Chase CEO Jamie Dimon said the surge in artificial intelligence spending shows no signs of slowing, with investment in the entire hyperscale data center ecosystem potentially reaching $1 trillion in 2027. Spending has more than doubled from roughly $300 billion in 2025 to about $700 billion in 2026, he said.

Dimon said the increase is boosting economic growth by about 1% of GDP annually, but could also slightly fuel inflation as companies hire workers, build factories and power plants, and purchase equipment and materials. Over the long term, however, he believes AI could have a deflationary effect, calling it an "incredible technology" whose rapid expansion appears set to continue.

Asked about returns on AI investment, Dimon said they are not always easy to measure, noting that sometimes returns are simply a basic requirement, and improvements in customer experience are a benefit that is hard to quantify. He also cautioned against picking winners too early, citing the internet bubble as an example: many well-known companies failed while previously obscure ones became major winners, and the AI industry could follow a similar path.

Beyond AI, Dimon said huge demands for capital from infrastructure buildout, remilitarization, and persistent government deficits could be pushing interest rates higher. He added that markets may see a correction, though he is not sure whether AI will be the cause. On inflation, he said he hopes price pressures ease, but they might not and could even rise modestly, and argued that the Federal Reserve should stick to its 2% inflation target.