AI Data Center Energy Demand Nears Half Global Consumption

The rapid expansion of artificial intelligence (AI) is driving a surge in demand for data centers globally, creating significant challenges related to electricity supply and infrastructure readiness. In the Asia Pacific region, despite a doubling in data center supply expected by 2028, a shortage of 15-25 gigawatts is anticipated due to insufficient power and a lack of AI-ready facilities, which require more than double the power density of traditional data centers (Article 1). The United States is experiencing similar pressures, with AI and data center power consumption increasingly straining grids such as PJM Interconnection's Mid-Atlantic network, where retirements of coal plants outpace replacement generation, and extreme heat is exacerbating demand (Article 2). Globally, data centers consume about 1.5% of electricity, with AI-focused centers drawing power comparable to millions of homes, and regions like Virginia seeing data centers use up to a quarter of electricity supply; this consumption is growing at rates far exceeding overall electricity demand (Article 4). Research highlights that AI-related electricity use could equal the total power consumption of a country like Switzerland and may soon represent nearly half of all data center energy use, raising concerns over greenhouse gas emissions as many AI operations rely on fossil fuel-generated grid electricity (Article 5). Meanwhile, initiatives such as the proposed $10 billion AI data center development on the Northumberland coast aim to support AI growth while addressing environmental concerns through innovative cooling technologies, illustrating the economic and infrastructural efforts underway to meet AI's power needs (Article 3).