• News

Energy executives warn that AI data center and EV energy demand may surpass supply by 2030

The AI boom could spell trouble for the economy if demand remains high for the next several years.

Donovan Erskine

July 1, 2024 1:25 PM

NVIDIA

2

The artificial intelligence race has defined the technology industry over the past couple years. As companies allocate more resources to the development of AI, so grows the demand for energy and data centers. As utility experts look forward, concerns about the economy in relation to this growing demand are sprouting.

A recent report from CNBC referenced statements from several utility execs regarding the increasing demand for AI data centers. “This growth is a race against time to expand power generation without overwhelming electricity systems to the point of stress,” said Surya Hendry, an analyst for Rystad Energy, in a statement. She goes on to say that renewable energy is “the key to meeting this demand.”

The issue extends to electric vehicles, as the increased adoption in EVs is also expected to balloon energy demands in the coming years. There are concerns that the demand for AI data centers and energy for EVs will surpass the available supply by 2030.

As the demand for energy continues to grow, it’ll be fascinating to see how the economy reacts and adjusts in the coming years. For the latest stories in the worlds of AI and EVs, stay right here on Shacknews.

Donovan Erskine

News Editor

Donovan is a journalist from Maryland. His oldest gaming memory is playing Pajama Sam on his mom's desktop during weekends. Pokémon Emerald, Halo 2, and the original Star Wars Battlefront 2 were some of the most influential titles in awakening his love for video games. After interning for Shacknews throughout college, Donovan graduated from Bowie State University in 2020 with a major in broadcast journalism and joined the team full-time. He is a huge film fanatic and will talk with you about movies and games all day. You can follow him on twitter @Donimals_