Cause And Effect
Impacts of Tariffs on AI and Startup Innovation
Estimated increase in data centre building material costs due to tariffs
20%
Estimated increase in IT hardware components costs due to tariffs
25%
Key Facts
- The increased cost on AI development due to tariffs raises barriers for startups in the US and hinders their innovative capabilities.
- International development of AI is also at risk, as the reluctance to invest in infrastructure becomes palpable with rising costs.