Money Business The AI industry is still struggling to reassure investors that the unfathomable billions of dollars it’s pouring into the tech will be worth it in the end. As Reuters reports, Microsoft and Meta admitted this week that capital expenses would remain on the rise as they rush to meet AI demand by building out data center capacity. The shares of both fell on Wednesday, highlighting an inconvenient reality for AI-crazed tech outfits: that tech companies have yet to turn generative AI into a meaningful source of revenue despite spending billions, and it’s making investors increasingly nervous. Major supply constraints caused by chipmakers struggling to meet big tech’s insatiable appetite and massive running costs are compounding the issue. “It’s costly to run AI technology,” GlobalData analyst Beatriz Valle told Reuters. “Getting capacity is expensive.” “It has become a competitive race among the big tech companies to build out capacity,” she added. “It’s going to take time to see the returns, to see widespread adoption of the technology.” Cash Course The money fire is likely to continue at least for the near future, with Meta forecasting “significant acceleration” in AI-related infrastructure expenses this week. The news had analysts concerned, with Meta’s shares sliding almost three percent since the beginning of the week. “Meta needs to prove that it can continue to cover its AI costs as they rise next year, and any weakness in its core ad business could make investors nervous as they continue to wait for a return…Big Tech Is Facing Down a Major Problem With Its AI Plans