Investment in artificial intelligence (AI) is projected to surge to $527 billion in 2026, according to Goldman Sachs, marking a significant increase from the previous estimate of $465 billion. This momentum solidifies AI’s transition from a speculative trend to a core economic driver, characterized by extensive corporate investment and emerging sector growth beyond tech giants.
The AI sector is undergoing a “Phase 2” supercycle, with major firms like Amazon, Microsoft, and Alphabet investing heavily in infrastructure such as data centers. BlackRock highlights that the AI bull market is broadening, now impacting utilities, construction, and semiconductor industries. Beyond 2026, predictions suggest the global AI market will exceed $1 trillion by 2030, primarily fueled by advancements in generative AI and cloud computing.
Investors are increasingly turning to AI-focused exchange-traded funds (ETFs) for exposure, as individual stock picking in the volatile market becomes riskier. Noteworthy funds include the iShares A.I. Innovation and Tech Active ETF (BAI), with $8.52 billion in assets and a 23.7% gain over the past year, and the Roundhill Generative AI & Technology ETF (CHAT), which has seen a remarkable 43% increase in the same period.
