As the rise of artificial intelligence (AI) accelerates, it’s clear that power companies face unprecedented challenges in managing the growing demand for energy. AI is driving data center expansion, and this is putting significant strain on the power grid. Tech companies who have enough margin in their businesses to afford and willing to pay a premium for clean energy, there is uncertainty on how much demand is expected. Time and duration is the bugbear of planning, and the quote from Jensen Huang is an important one. Waiting for the fog to clear is wishful thinking, rather power companies need to exercise and build their muscle to make strategic bets under uncertainty.
“Although it consumes energy to train the models, the models that are created will do the work much more energy efficiently,” said Jensen Huang, chief executive of Nvidia, the fastest-growing AI chipmaker, at the Bipartisan Policy Center on Friday. “The energy efficiency and the productivity gains that we’ll get from [AI] . . . is going to be incredible.”
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