Every wave of innovation brings questions about whether we’re in a bubble – from railways and electricity to the internet and now AI. But history shows that what lasts isn’t the speculation… it’s the infrastructure built along the way. That’s why at KKR, we’re focused on the foundations that will define enduring value in the AI era – from power and land to permits and grid connectivity. A new Financial Times op-ed from Waldemar Szlezak, with contributions from Adam Selipsky, explores why the next decade’s AI infrastructure winners will be those who invest behind in what can’t be commoditized. Read the full piece below – and in case you missed it, check out our recent insights piece on why we think AI infrastructure will compound long after the hype: https://go.kkr.com/4qKBp2K
It’s always good to look on history. Very often it repeats. In telco a lot of people asked in past: - why we need fiber while copper is good - what is a killer application. - why we need data on mobile phones, Etc.. It’s proven while infrastructure and tech enable activities, use cases and services are gradually building up.
Exactly. Value isn’t created by chasing capacity — it’s preserved by securing what can’t be commoditized.
This reflects the strategic case for Australian regional aviation. The real constraint is not technology but reliable physical connectivity. Upgrading regional transport links that connect farming, mining, and essential services to connect people and communities to opportunity. That’s where durable, compounding value is created through real assets, stable yield, and long-term IRR growth.
Excellent analysis distinguishing bubble-prone segments from durable infrastructure plays. AI infrastructure isn't speculative because demand is real and physical constraints are binding. For infrastructure investors, this is about recognizing where value accrues and it's in the hard assets, not the hype.
There are substantial differences to the dotcom bubble. Adoption and commetcial models are there other than in the early 2000s.
Energy Transition Investment Professional
1wNice job Waldemar Szlezak