AI boom fails to lift gold demand, WGC says

AI desk brief

The World Gold Council says the AI boom has so far failed to materially lift gold demand in electronics, with 2025 technology-sector usage essentially flat at 323 tonnes as manufacturers’ efforts to reduce gold content offset AI-driven growth. The WGC sees the sector as a “tug-of-war” for now, but notes co-packaged optics could become a more meaningful long-term source of gold demand if adoption broadens across hyperscale AI infrastructure.

Gold traded at $4,270.30/oz on Friday morning, up almost 14% year on year. Electronics remains the dominant industrial use of gold, accounting for about 80% of industrial consumption, so any sustained CPO rollout would be the key channel for incremental demand.