The decline in stock values in the technology market in the United States, particularly in the field of artificial intelligence, has raised concerns about the sustainability of this country's economic growth. According to experts, this decrease could have significant financial and economic consequences.
Economic Growth and Artificial Intelligence Costs
Investment in data centers for training and powering artificial intelligence models has become one of the main engines of economic growth in the United States. Bruno Cavalier, an economist at Oddo BHF Bank, noted that this sector alone accounts for 30 percent of the economic growth in the United States in 2025 and 2026. Costs for data centers have increased by 150 percent during this period.
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This demand for advanced chips and information technology equipment has driven up stock prices in the technology sector. However, data centers also require energy sources, cooling systems, and construction services, which helps create jobs and income for local communities.
Concerns About Environmental Impacts
However, increasing concerns about the environmental and human costs associated with the activities of these centers, including air pollution and high energy consumption, have led to opposition. The political victories of the Democrats in the U.S. midterm elections have raised investor concerns about stricter regulations, significantly impacting stock sales on Wall Street.
Markets are reacting to the risk that Democratic victories in states with large projects may increase construction costs and project completion times. In the United States, 43 percent of household wealth is now exposed to stock market fluctuations, which could have negative effects, especially for retirees.
Additionally, the top 10 percent of wealthiest Americans account for half of consumer spending, which could affect the purchasing power of other segments. Rising interest rates have also complicated the situation, and high borrowing costs for artificial intelligence companies that rely on large loans to set up their data centers create further difficulties.
Tighter financial conditions and higher liquidity needs may deter investors from further investing in this sector. However, Jacques-Aurélien Marcireau, an asset manager in Paris, believes that American politicians are aware of the risks, and a complete halt to data center construction is unlikely. Nevertheless, a slowdown in project construction could ultimately benefit the market.
The Nasdaq technology index has also been declining prior to this week and is now officially in correction territory, with a drop of about 12 percent in one month, leading to a decrease of $2.5 trillion in the market value of Nasdaq companies. Investors are now doubtful about the future of the initial public offering of Anthropic, a cloud producer, which was expected to be the largest offering in history.
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