AI Spending Boosts Economy Amidst Business Survival Struggles

For Cameron Pappas, owner of Norton’s Florist in Birmingham, Alabama, the artificial intelligence (AI) revolution feels like a distant echo.

While tech giants like Nvidia, Alphabet, and Broadcom propel the stock market to unprecedented heights and contribute significantly to GDP growth, Pappas is grappling with the realities of the broader economy, a world distinct from the exuberance of Wall Street and Silicon Valley.

Small businesses like Norton’s, alongside companies of all sizes in sectors such as retail, construction, and hospitality, are facing headwinds from increased expenses driven by tariffs and a decline in consumer spending.

“We’re maintaining a laser focus on all our costs,” Pappas, 36, stated in a recent interview with CNBC.

Norton’s, a local establishment specializing in flowers, plants, and gifts, generated $4 million in revenue last year. To avoid raising prices, which could deter customers,