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High Interest Rates Aren’t Slowing the A.I. Boom. That’s a Problem for the Fed.

Rising borrowing costs are taking a toll on households and businesses. But they are doing little to dampen enthusiasm for investments in A.I. infrastructure, which are contributing to inflation.

Β© Paul Ratje for The New York Times

There is little sign that higher borrowing costs are doing much to slow artificial intelligence development, which includes spending on chips, data centers and the electrical systems to power them.
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