Key facts
- Bank of England Governor Andrew Bailey warned AI may need to be rationed.
- Energy supply cannot keep up with AI capabilities.
- Companies and governments face social choices due to energy constraints.
- Energy constraints will force trade-offs between sectors.
Bank of England Governor Andrew Bailey issued a warning on Friday, suggesting that artificial intelligence (AI) might need to be rationed. This potential rationing stems from the inability of current energy supplies to match the growing demands of AI capabilities. Bailey indicated that businesses and governments will confront substantial social decisions as energy limitations compel them to make trade-offs across various economic sectors. The core issue, as he sees it, is not the potential of AI to perform more tasks, but rather the feasibility of powering these advancements within existing energy frameworks.