Potential challenges for AI industry due to tariffs impacting manufacturing costs and reliance on overseas hardware.

From Yahoo Finance: 2025-04-10 08:02:00

Tech experts are concerned that new tariffs could slow down the AI boom, impacting the AI industry. The cost of labor in the U.S. is unrealistic for large-scale manufacturing, leading to potential long-term challenges. Spectators warn that tariff wars act as a tax on the AI system in the U.S., threatening American developers.

IBM recently introduced the z17 mainframe with advanced AI capabilities across hardware, software, and systems operations. The mainframe offers over 250 AI use cases, including managing chatbot services and mitigating loan risks. IBM ranks 10th in AI stocks investors are watching today, with some AI stocks showing more promise for higher returns.

Despite concerns, many in the tech world remain optimistic about the future of AI. However, the impact of tariffs on the AI industry remains a point of contention. The Trump administration’s tariffs could hinder the U.S.’s position as an AI leader by affecting the reliance on overseas hardware, particularly chips.



Read more at Yahoo Finance: “AI Is Only as Powerful as the Infrastructure”