Source: NYT > Business (paywall)
As AI companies race to build the infrastructure for large language models, they're facing a bottleneck that has nothing to do with algorithms: a shortage of electricians, HVAC technicians, and carpenters capable of constructing and maintaining massive data centers. The AI boom's limiting factor isn't compute or talent in the traditional sense, but physical labor and real estate—meaning companies like OpenAI, Google, and Microsoft are now competing directly with traditional construction firms and utilities for scarce skilled trades. The tightness in these labor markets could materially slow AI deployment timelines and raise the cost of computational capacity, making data center construction the unexpected chokepoint in the AI supply chain.