Morgan Stanley CEO: AI Infrastructure Spending Could Hold at $1 Trillion a Year

Morgan Stanley Chief Executive Ted Pick said on Oct. 14 that the firm has reached a "double overweight" position on artificial intelligence infrastructure, while warning that the growth momentum of AI spending is expected to slow.

Pick noted that Morgan Stanley has been overweight AI since the early days, and given how important AI is to both clients and the firm itself, it is now "double overweight." He said annual spending on AI infrastructure currently averages about $1 trillion, a substantial amount that may not accelerate further but could plausibly remain at that level for another decade.

Pick added that Morgan Stanley is closely watching the market while continuing to support the industry. When things appear to be moving too fast and the market is not ready for the next round of funding, structure, or innovation, the bank will consider what is appropriate. When the pace is not fast enough and capital is needed, it will scale up accordingly.