AI model training could consume more than 4 gigawatts of power by 2030—enough to power entire cities—as energy demands for frontier AI development continue doubling annually, according to a new report from Epoch AI, a research institute investigating AI trajectory, and the Electric Power Research Institute (EPRI), an independent nonprofit. This exponential growth in power consumption poses significant challenges for utility companies and could derail tech giants’ climate commitments, even as companies explore distributed training and flexible power solutions to manage the unprecedented energy demands.
What you should know: Recent AI training runs like Elon Musk’s Grok AI already require 100-150 megawatts, but power demands are accelerating rapidly.
- By 2028, each frontier AI training run is projected to consume 1-2 gigawatts of power.
- Individual training runs could hit 4 gigawatts by 2030, approaching the power draw of some U.S. states.
- Power demands have been more than doubling every year, despite significant efficiency improvements in chips and cooling systems.
Why efficiency gains aren’t helping: Tech companies are reinvesting efficiency improvements into larger-scale operations rather than reducing overall energy consumption.
- “AI companies tend to just reinvest those efficiency gains into scaling up,” Joshua You, a data analyst at Epoch AI, told Newsweek. “So that tends to swamp these efficiency improvements.”
- This reflects a modern version of the Jevons paradox, where efficiency improvements paradoxically lead to greater overall consumption.
Potential solutions emerging: Companies are testing distributed training methods and flexible power systems to manage peak demand.
- EPRI, Oracle, NVIDIA, and startup Emerald AI demonstrated shifting AI computing work between data centers in Phoenix to avoid straining local power grids during peak demand.
- The DCFlex partnership launched last year explores on-site power generation and large-scale battery storage systems for data centers.
- “We have technical demonstrations where you can distribute the training,” Tom Wilson, principal technical executive at EPRI, explained.
Climate implications: The AI boom is undermining tech companies’ net-zero commitments as they turn to both renewable and fossil fuel sources.
- Tech companies are already among the world’s biggest purchasers of renewable energy.
- However, many are also choosing fossil fuel sources for new data center developments.
- The energy surge has knocked major players like Google and Microsoft off target for their ambitious climate goals.
The big picture: This research focused specifically on training new AI models rather than broader AI infrastructure energy use, providing utilities with crucial insights for planning future power capacity and grid management strategies.
Recent Stories
DOE fusion roadmap targets 2030s commercial deployment as AI drives $9B investment
The Department of Energy has released a new roadmap targeting commercial-scale fusion power deployment by the mid-2030s, though the plan lacks specific funding commitments and relies on scientific breakthroughs that have eluded researchers for decades. The strategy emphasizes public-private partnerships and positions AI as both a research tool and motivation for developing fusion energy to meet data centers' growing electricity demands. The big picture: The DOE's roadmap aims to "deliver the public infrastructure that supports the fusion private sector scale up in the 2030s," but acknowledges it cannot commit to specific funding levels and remains subject to Congressional appropriations. Why...
Oct 17, 2025Tying it all together: Credo’s purple cables power the $4B AI data center boom
Credo, a Silicon Valley semiconductor company specializing in data center cables and chips, has seen its stock price more than double this year to $143.61, following a 245% surge in 2024. The company's signature purple cables, which cost between $300-$500 each, have become essential infrastructure for AI data centers, positioning Credo to capitalize on the trillion-dollar AI infrastructure expansion as hyperscalers like Amazon, Microsoft, and Elon Musk's xAI rapidly build out massive computing facilities. What you should know: Credo's active electrical cables (AECs) are becoming indispensable for connecting the massive GPU clusters required for AI training and inference. The company...
Oct 17, 2025Vatican launches Latin American AI network for human development
The Vatican hosted a two-day conference bringing together 50 global experts to explore how artificial intelligence can advance peace, social justice, and human development. The event launched the Latin American AI Network for Integral Human Development and established principles for ethical AI governance that prioritize human dignity over technological advancement. What you should know: The Pontifical Academy of Social Sciences, the Vatican's research body for social issues, organized the "Digital Rerum Novarum" conference on October 16-17, combining academic research with practical AI applications. Participants included leading experts from MIT, Microsoft, Columbia University, the UN, and major European institutions. The conference...