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BG2Pod with Brad Gerstner and Bill Gurley · Startups & Venture · October 2026
Huang argues that computing spending was already about half a trillion dollars a year before AI and would have kept growing anyway. With Moore's Law over, he says, more compute now means proportionally more money, which adds to the case for a multi-trillion-dollar build-out.
Just compute. Now, why is it going to be so big? Well, it was half a trillion before AI started.
Right.
And if I told you that over the course of some six, seven, eight years, it became one and a half trillion because the world's just consuming more compute. Right. I mean, that's not illogical. On top of this, remember, Moore's Law is over. There was a time, if you want to get twice as many transistors, you just wait one year. And if you want twice as many transistors, wait one year, same price. But if you want twice as many transistors now, it doesn't matter how long you wait, you have to pay twice as much. Okay, because Moore's Law is over. And so, whatever computing capacity that the world wants, every single year, if you want twice as much, you're going to pay twice as much. And so, on top of that half a trillion dollars that was kind of growing just naturally, because the world just used more and more digital, you're going to have to effectively give it an X factor just to account for the fact…
I just said that two years ago, yeah.
And so, so, so that's just one part. Right. And so, the only thing that we, and then, and then don't forget, because we're in the new computing platform shift, there are going to be a whole lot of startups. Innovation is part of the economy.
Right.