AI devours tech spending in companies, mostly on employee training.


TLDR:

High interest rates have caused companies to pull back on tech spending, with AI and cloud driving critical new investments. AI budgets are mainly going towards employee-facing tools, like Microsoft Copilot suite, rather than customer apps. Big players like HPE and Nvidia are working on enterprise AI adoption.

Key Elements:

AI and cloud computing drive current tech spending

More money is being allocated to employee-facing AI tools

HPE and Nvidia collaborate on enterprise AI adoption

Interest rates impact overall technology budgets

Investments in new technology are driven by client demand

Employee use of AI is increasing in companies

AI investments are accelerating

Rise in demand for large language model training

Dell reports growth in AI server sales

Gen AI deployment is forecasted to triple hardware demand

Structural shift in technology infrastructure

AI seen as a productivity tool for corporations