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AI and robotics fund investors weigh overbuild and market concentration
ETF Trends says clients are increasingly focused on whether the AI build-out is durable, what is already priced in, and which holdings could be disrupted, as spending on data centers is projected to reach nearly $800B in 2026.
ETF Trends says clients rarely ask about artificial intelligence and robotics strictly as technology, instead raising concerns tied to investing outcomes, including whether AI infrastructure may be overbuilt, whether the opportunity has already passed, and risks around concentration, valuations, and disruption to existing holdings.
The outlet frames a two-step approach for advisers, starting with identifying the real underlying question, such as whether AI spending will prove durable and which companies, including current investments, could benefit, compete, or face disruption. It also emphasizes distinctions between AI as an intelligence layer, including enabling technologies and infrastructure, and robotics as the process that turns sensing, computation, and control into physical action.
ETF Trends links those distinctions to how two ROBO Global indexes are built, with the ROBO Global Artificial Intelligence Index, tracked by the THNQ ETF, focusing on the intelligence stack and the ROBO Global Robotics & Automation Index mapping how robotics changes physical work.
The article points to expected capital spending on AI infrastructure, citing an estimate of nearly $800B for data centers in 2026 and a general view that data center spending could reach a $1 trillion range in 2027, while noting that the AI opportunity extends beyond data centers into related technologies, services, and connected devices.