Howdy, and welcome to TechScape. I’m your host, Blake Montgomery, wishing you a cheerful New 12 months’s Eve crammed with cheer, champagne and Mariah Carey’s comically terrible rendition of Auld Lang Syne.
As we speak, we’re wanting ahead to the following yr in expertise information. I’m watching 5 traits I believe will outline the yr: datacenters will see speedy proliferation past the US and China; billionaires will reap billions extra; self-driving automobiles will park themselves in a slew of brand-new locales; AI will discover its area of interest at work; and shopper tech will take unusual new shapes.
Datacenters blanket the globe
FILE – Vehicles drive previous knowledge facilities that home laptop servers and {hardware} required to help trendy web use, corresponding to synthetic intelligence, in Ashburn, Virginia, July 16, 2023. (AP Photograph/Ted Shaffrey, File) {Photograph}: Ted Shaffrey/AP
Datacenters unfold thick and quick throughout the US and UK in 2025. In 2026, the multitrillion-dollar challenge of constructing the infrastructure behind synthetic intelligence is poised to increase throughout the globe.
Look no additional than a narrative revealed in the New York Instances the day after Christmas, which catalogues the massive investments tech giants have begun pouring into India for a build-out anticipated to happen over the following 5 years. Microsoft dedicated $17.5bn to establishing new datacenters in India at an occasion earlier this month. Microsoft’s CEO, Satya Nadella, didn’t even have time to go away the stage throughout that announcement earlier than rival Amazon declared it could spend $35bn by itself datacenters within the nation, in keeping with the Instances. Google inked a $15bn partnership for a similar factor with two Indian mega-conglomerates a month prior, and Meta, to not be outdone, is constructing a datacenter close to Google’s deliberate web site.
South-east Asia is following India’s lead, with analysts predicting double-digit progress within the variety of datacenters and computing capability in Indonesia, Malaysia and Vietnam. Singapore already has a lot of datacenters relative to its measurement. Australia can be a rising regional hub. What to observe on this area: it’s quite sizzling there for the temperature-sensitive computing services, which suggests they are going to devour a higher quantity of electrical energy than elsewhere – they already devour an unlimited quantity – for cooling.
Brazil is making a play to be Latin America’s datacenter vacation spot. To date, it’s working. Like India, although, the facility grid has not modernized to fulfill the big vitality starvation of digital infrastructure. Demand from datacenters has led to blackouts this yr. Latin America as a complete is seeing a rising resistance from environmental activists to the speedy building of datacenters, which are sometimes shrouded in authorized secrecy that forestalls native communities from realizing how a lot electrical energy and water they are going to devour.
Learn extra: Energy battle: will Brazil’s booming datacenter trade go away bizarre individuals in the dead of night?
Learn extra: Datacenters meet resistance over environmental issues as AI growth spreads in Latin America
Saudi Arabia and the United Arab Emirates, eager on changing into the dominant gamers in AI within the Center East and diversifying away from oil, struck about $600bn in AI offers with the US throughout Trump’s tour in Might, together with one for the largest AI campus exterior the US. The offers are mutual, with the US and its tech titans pledging to take a position tens of billions in AI infrastructure in each petrol states.
Europe’s datacenter market is rising. The continent boasts a strong and mature datacenter market, but it surely has not fostered the identical quantity of progress or attracted equal funding as has the US and China on the subject of AI. Europe’s computing capability is prone to develop subsequent yr, however maybe not as quick as different areas talked about right here.
Learn extra: ‘It’s hell for us right here’: Mumbai households undergo as datacenters maintain the town hooked on coal
A cautionary lesson from China, although, is that simply because a datacenter will get constructed doesn’t imply it will get used. The nation spent a lot of 2023 and 2024 dashing to construct a brand new armada of datacenters. About 150 new datacenters completed building and started operations in 2024, in keeping with the state-affiliated China Communications Trade Affiliation Knowledge Heart Committee. Now a good portion of them are sitting unused, struggling to safe clients and new funding, in keeping with each Reuters and the MIT Expertise Evaluation. Native Chinese language shops cited by the MIT Tech Evaluation report that as much as 80% of China’s new computing capability can’t discover consumers. What is going to the remainder of the world do if it likewise turns into saturated?
The worldwide arrival of self-driving automobiles
In November, I wrote in regards to the race between the US and China within the autonomous car trade, which can see self-driving automobiles seem in main metropolises all through the world in 2026:
We’re on the verge of the worldwide arrival of self-driving automobiles. Subsequent yr, main corporations from each the US and China will deploy their robotaxis to metropolises around the globe, in main expansions of their current operations. These firms are posturing within the press like male birds preventing for a similar mate; the dance units the stage for the worldwide competitors to return.
On the US facet, there’s Waymo, Google’s driverless enterprise. The corporate has invested billions of {dollars} in Waymo up to now 15 years. The corporate opened its robotaxi service to the general public in June 2024 in San Francisco after years of testing and has been rolling it out steadily since. Now autos are very seen in most of Los Angeles, and they are going to be in Washington DC, New York Metropolis and London subsequent yr.
Baidu’s Apollo Go let its taxis free in Dubai and Abu Dhabi this yr. The wheels of WeRide, one other Chinese language autonomous car firm, have likewise touched down within the United Arab Emirates and Singapore. All the important gamers within the Chinese language market are increasing in Europe. Vehicles made by the agency Momenta and deployed by Uber are slated to start out driving in Germany in 2026. WeRide, Baidu and Pony AI even have plans to start robotaxi service in numerous European locales within the close to future. Many extra individuals are about to see self-driving automobiles in the midst of their every day lives.
Learn extra: The race begins to make the world’s finest self-driving automobiles
Billionaires are most likely going to get richer
Ten of tech’s most well-to-do executives added an eye-popping $550bn to their fortunes in 2025, in keeping with the Monetary Instances. That astronomical progress exhibits no indicators of stopping subsequent yr, significantly with two looming preliminary public choices: OpenAI and SpaceX, valued at $830bn and $800bn, respectively, although each these figures might rise to $1tn.
SpaceX’s buying and selling launch will add tens of billions to the web value of its CEO and co-founder, Elon Musk, who already instructions a fortune of about $600bn, in keeping with Forbes. OpenAI’s debut on the inventory market is a bit murkier: Sam Altman has stated he doesn’t personal a stake within the newly for-profit model of the ChatGPT maker, so its IPO might make its backers like Microsoft and its personal workers, who personal a big chunk of the inventory, fairly wealthy whereas Altman reaps a modest revenue.
Musk can be positioned to reap an unlimited wage from his work at Tesla. He’s now the beneficiary of two pay packages, one, value $56bn, reinstated by a company court docket in Delaware, and the opposite, value a whopping $1tn, voted on by Tesla shareholders.
The exception to my prediction of billionaires’ ballooning fortunes could also be Larry Ellison. The super-wealthy Trump backer briefly dethroned Musk because the richest man on the earth in September as hopes of the success of his enterprise software program agency, Oracle, ran greater than they ever had. His coziness with Trump and Oracle’s involvement within the AI growth appeared like twin rocket boosters that might ship his fortune to the moon.
Only a few months later, although, Oracle is bearing the brunt of traders’ fears of an AI bubble. Wall Avenue scrutinizes the corporate’s future commitments and the mammoth quantity of threat it has taken on to finance them. Oracle’s earnings knocked $80bn off its market capitalization.
AI does – and doesn’t – remodel work
AI has reworked productiveness in some niches. Coding, for instance, appears to be like extraordinarily totally different than it did simply 5 years in the past. Customer support representatives are being changed by hated chatbots left and proper. AI has not changed worker-level productiveness in most industries, although. An MIT examine that discovered 95% of firms’ AI pilot packages failed to offer a return on funding nonetheless looms massive. Although AI just isn’t prepared for worker-replacement prime time, corporations are refraining from hiring, ready for the expertise’s potential to reach, which implies that right now’s jobs are being affected by bosses’ conception of the long run. For instance, Hollywood, in a dire monetary hunch already, is popping to AI as a approach to full productions extra cheaply. Newspaper readers have rejected AI-generated writing, seeing it as inaccurate and unreliable. Authorized professionals have but to work out the place generative AI ought to determine into their area: chatbots cite fictitious circumstances, however summarizing prolonged and dense paperwork is an software that does save an excessive amount of time. Subsequent yr might even see generative AI discover extra niches the place it’s genuinely helpful.
Keep tuned for extra on the topic: the Guardian will start publishing a year-long collection on AI and the way forward for work in early 2026.
Can I curiosity you in a brand new gadget? Shopper {hardware} will get bizarre new type components
For years now, the smartphone has been the piece of expertise that mattered most to most individuals, maybe the one one among any significance in any respect. That gadget has seemed largely the identical for the higher a part of a decade, an enormous black display screen with some buttons on the facet. The previous few years have seen the debut of a number of totally different type components, nevertheless – largely folding gadgets, alongside a number of new gadgets meant to offer AI a bodily type. In 2026, these traits will most likely speed up, fueled by Apple’s attainable launch of a folding telephone and the hunt for a tool that can channel AI’s capabilities.
Apple’s folding telephone has been rumored for half a yr a minimum of with out eliciting a denial from Cupertino. A brand new type issue for the smartphone will come to a big and devoted viewers. High Androids have sported folding screens for years now, together with a brand new Samsung that folds twice, however Apple’s viewers is a captive one, locked into its software program ecosystem.
Tech firms are feverishly engaged on a brand new AI gadget, determined to be the primary to unlock the attraction of ChatGPT IRL. OpenAI spent about $6.5bn in 2025 on iPhone architect Jony Ive’s startup, which had few, if any, merchandise to talk of; the approaching yr might even see its first product. The Humane pin with its shiny founders and the Buddy necklace with its stunty subway advertising and marketing each made splashes however by no means caught on. Humane has already shuttered. Sensible glasses current a promising avenue for bringing generative and responsive AI into individuals’s on a regular basis lives, and these gadgets are already fashionable. In 2026, sensible glasses appear prone to proliferate and advance, dominated by Meta. Generative or responsive AI will most likely additionally come to extra locations you don’t want it. Samsung already added its Bixby assistant to its fridges method again in 2024, in spite of everything. Chances are you’ll end up with a sensible cover in a resort in 2026.
