tech
Bank of England governor warns AI may need to be rationed because of energy limits
BoE’s Bailey says AI will soon do more than power grids can handle, forcing trade-offs between healthcare, defence, and other sectors.
TL;DR
- Andrew Bailey, Governor of the Bank of England, warns that AI may need to be rationed due to power supply limitations.
- Energy constraints could force trade-offs between sectors, like healthcare and defense.
- AI's capabilities are expected to soon surpass the available electricity capacity.
- US utilities are planning significant infrastructure spending to accommodate the data center boom.
- Every megawatt used for AI is unavailable for other essential uses like housing or manufacturing.
- Bailey views AI as the next major general-purpose technology but expects productivity benefits to take time.
- He is not concerned about AI causing mass unemployment, anticipating both job creation and destruction.