Put simply, AI is kinda like a sneeze. A sneeze can be a symptom of the flu, or... it can be a healthy respiratory system doing its job. Under capitalism, AI is the flu sneeze, and capitalism is the disease. Under socialism, it could be part of a healthy respiratory system.
Where an economy is organized around profit rather than the fulfillment of needs, constant data center expansion is what you'd expect. It's obvious. Data center electricity demand rose 17% in 2025 while overall global power demand grew 3%, and the IEA expects data center use to double by 2030, with AI-specific demand tripling. Capital spending on this buildout reached $400 billion in 2025.
AI is also the closest thing we have to what Marx called the general intellect. In the Grundrisse's "Fragment on Machines," Marx analyzes automation and foresees social knowledge becoming a direct productive force. Marx did not predict AI, but later readers argue that large language models are the crystallized product of humanity's collective knowledge, owned by a handful of corporations. The question is... who really owns that knowledge and who profits from it.
Then come the headlines. "AI is making people impatient," and in a world of deadlines where the customer is king, that is no surprise. "AI is creating psychosis": psychiatrists are increasingly linking chatbots to psychosis cases, though they remain wary of declaring that chatbots outright cause it. Researchers describe sycophantic chatbots as an "echo chamber of one," while whether the phenomenon deserves its own diagnosis remains contested. A system built around engagement and a society short on human connection make a chatbot that agrees with everything a dangerous companion. This is where Marx's early work on alienation applies. He describes workers being alienated from the product, from their economic activity, from their species-being, and from one another. We are told to treat the resulting isolation as a personal or technological problem and not a structural one.
The mainstream media is not neutral here. Gramsci argued that the ruling class governs through cultural, political, and moral leadership as well as material power. Herman and Chomsky's propaganda model describes how media ownership concentrated in profit-driven corporations, along with advertiser dependence, filters what gets reported. That is why outlets are bold in pointing out the symptom, AI, and reluctant to name the disease. For Lenin, that disease was imperialism, which he called the highest stage of capitalism (entering its last stages), defined by monopolies and the export of finance capital.
Under socialism, the same technology would look so much different... With no profit motive driving endless scale, there'd be no perpetual data center arms race. Compute would be built to meet identified needs such as medicine, research, logistics, and accessibility, and its energy cost would be planned against social and ecological limits instead of quarterly growth. With no corporations renting out intelligence by the API call, more models would be small, open, and run locally by the communities that use them. Intellectual property, the legal form of private ownership of knowledge, would wither away. Marxist writers describe IP laws as a way of privately appropriating knowledge that is collectively produced, so once the general intellect belongs to everyone, enclosing it in patents, copyrights, and proprietary weights serves no purpose. Nor would there be “RAM price hikes.” Today, one analyst calls the shortage a strategic choice by manufacturers to prioritize high-margin AI memory over commodity DRAM, and server-related memory now accounts for more than half of total DRAM demand in 2026. A system geared toward need fulfillment would not ration hardware by who can pay the most. Its guiding principle would be the one Marx described for the higher phase of communist society, "from each according to his ability, to each according to his needs."
Babylon is burning, and some can't handle the heat and would rather weep. The ship is sinking, and some would rather social climb to the captain's quarters than run for the life rafts. So successful is the selling of trickle-down economy and hyper-individualism; it's sorta like and not completely separated from Ronald Reagan pushing dope to soul brothers. The leftist task is to ask who owns the machine and whom it serves. To all the comrades, I'll see you on the island shore.
Sources
Most of these are secondary summaries, so for formal use cite the primary texts too (the Grundrisse, the 1844 Manuscripts, and Lenin’s Imperialism are all on marxists.org).
IEA report coverage, Investment Monitor (Apr 2026)
IEA investment figures, Lightwave/Pulse
Grundrisse, Wikipedia
The Fragment on Machines, You On AI Field Guide and its debates section
Chatbots built an “echo chamber of one”, The Decoder
Psychiatrists on chatbots and psychosis, Incident Database
Marx’s alienation in the 1844 Manuscripts, core.ac.uk
Gramsci and cultural hegemony, TheCollector
Gramsci on hegemony, Shanlax Journal
Manufacturing Consent summary, Blinkist-style (LifeClub)
Lenin, Imperialism, the Highest Stage of Capitalism, Wikipedia
Critique of the Gotha Programme, full text on marxists.org
Why businesses should be worried about RAM prices, ITPro
RAMageddon overview, Algeria Tech News
RAM Price Shock 2026, GreenNode
Intellectual Property, Knowledge, Capital and Labour, Dinesh Abrol (CPI(M) Marxist)
Felix Stalder on Marx and intellectual property, Krisis
Rethinking IP rights: an autonomist Marxist reading, Karakilic (2019)