Energy experts are addressing the rising demand for power sources due to the growth of data centers. Exelon CEO Calvin Butler stated that the company plans to invest approximately $1.1 trillion in infrastructure over the next five years to meet this demand. In 2024, data centers accounted for about 1.5% of global electricity use, and they are projected to become the fifth-largest energy consumer worldwide, surpassing the consumption levels of Japan and Russia.
Exelon operates electric grid infrastructure in the U.S. and Butler noted a significant increase in supply costs, which have risen by 645% since 2024. To meet the energy needs of artificial intelligence, companies are exploring innovative solutions. Commonwealth Fusion Systems, based in Massachusetts, is developing fusion energy technology, which could potentially provide reliable power to the grid. Co-founder Brandon Sorbom explained that their fusion power plant could generate 50 times more power than it consumes.
However, the timeline for commercial fusion energy remains uncertain, with estimates suggesting it may not be viable until 2100. Some researchers believe that fusion could contribute between 10% to 50% of electricity in the future.
In addition to new energy sources, some companies are relocating data centers to areas with lower power requirements. Philippe Sachs from Nscale highlighted the advantages of Nordic countries, which offer stable populations, favorable regulations, and abundant green energy. The cool climate in these regions also reduces cooling energy needs for data centers.
Nordic countries currently host around 134 data centers, with 71 more expected to be established soon. John Wernvik from EcoDataCenter noted that the region's low energy prices and minimal industrial competition make it an attractive location for data centers. Despite challenges in construction due to weather conditions, companies are actively seeking solutions to meet the increasing energy demands associated with AI technologies.
