Bill Barney, the chairman of PTC, was onstage at PTC to discuss where the infrastructure market stands. “When you think about the next 25 years, you have to think about the last five,” he began.
AI, AI and More AI
As he spoke it became clear that Artificial Intelligence (AI) would be the cornerstone of the industry’s future. “AI is the end of the world as we know it,” he declared. The audience, composed of professionals who have been through numerous technological storms listened closely.
Barney painted a picture of AI not just as a technological advancement, but as a force of nature set to reshape the very foundations of the industry. “AI will eclipse cloud adoption,” he predicted, challenging the long-held belief that cloud technology would remain the primary growth driver. He cited Bloomberg’s Intelligence projection of US$1.3 trillion in AI-generated revenue by 2032 was not just a number; it was a glimpse into a future where the industry’s landscape would be unrecognizable, with three new top-tier companies emerging annually over the next seven years. That is in terms of value for comparison of course.
Subsea Cables
Beneath the waves, another revolution is brewing-submarine cables. “These cables every 3-4 years are generating more capacity than was already in the world,” he stated, highlighting a silent but crucial aspect of the industry’s evolution.
The projected investment surge in this sector, potentially surpassing the boom of 1999/2000 (roughly US$25 billion – roughly US$49 billion in current Dollar values), was not just a financial forecast. It is a testament to the industry’s relentless pursuit of connectivity.
Power is Becoming the Ultimate Driver
As Bill continued a new hot topic become apparent- power. “The shift we are facing is so large, it is about power,” he emphasized, his voice carrying the weight of urgency. The audience listened as he described a world where data centers’ electricity consumption nearly triples annually, transforming the industry from a purveyor of information to a voracious consumer of energy.
This shift, Barney explained, was not just a technical challenge but an environmental challenge. With data centers potentially responsible for up to 10% of CO2 emissions in the coming years, the industry stands at a crossroads. “This is a problem that needs to be fixed,” he continued.
“People have been chasing developed markets to deploy infrastructure; now they are following power,” he observed. The point painted a picture of a future where countries like Iceland and the Philippines, hosts of excess cheap power, could become the new Silicon Valleys of the digital age, Barney said.
Satellite is Back
“Look out fiber – the birds are back,” he said, heralding the unexpected resurgence of satellite technology. This was not just a technological comeback; it was a potential solution to one of the industry’s most persistent challenges – the digital divide.
As Barney spoke of SpaceX’s Starlink and Chinese initiatives making significant strides, the implications became clear. The industry was not just evolving; it was expanding its reach to the stars, promising connectivity to the most remote corners of the globe.
Geopolitical Challenges
The 10-ton gorilla in the market is the geopolitical challenges shaping the industry’s future. The ongoing US-China trade tensions were not just headlines; they were real obstacles that the industry needed to navigate. “In this business, we cannot operate without a country involved. “We need to work together,” he emphasized, his words a call for collaboration in an increasingly divided world.
The role of governments in AI development is a critical point of discussion. Barney’s observation is that “collaboration and creation of AI training models have now become a government issue” which highlights the complex issue between technology, policy, and national interests.
