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Data Center News > Blog > Regulation & Policy > AI set to face its day of reckoning as it confronts biggest threat yet — China and other countries want to slash exponential rise in data center power consumption
Regulation & Policy

AI set to face its day of reckoning as it confronts biggest threat yet — China and other countries want to slash exponential rise in data center power consumption

Last updated: February 18, 2024 8:02 pm
Published February 18, 2024
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Governments worldwide are tightening rules on the development of information facilities as a result of issues over their huge vitality consumption and the impression on nationwide local weather targets and energy grids.

In response to the Financial Times, nations together with China, Singapore and Eire have imposed restrictions on new information facilities lately to adjust to stricter environmental rules.

Elsewhere, Germany and Loudoun County in Virginia, USA, have launched measures similar to limiting permits for information facilities in residential areas or requiring them to contribute renewable vitality to the grid and reuse the waste warmth they generate.

Elevated calls for of AI

Probably the most vital menace to new initiatives is in Eire, a hub for server farms constructed by cloud computing giants as a result of its low tax price and easy accessibility to high-capacity subsea cables for international web visitors. The nation’s vitality and water regulator’s resolution in 2021 to restrict new information connections to the electrical energy grid resulted in information heart operators Vantage, EdgeConneX, and Equinix having permits for brand new initiatives in Dublin rejected final yr.

The US hosts a 3rd of the world’s 8,000 information facilities and their vitality consumption is rising considerably, due in no small half to the elevated calls for of AI. Tech corporations like Microsoft, Alphabet, and Amazon are below rising strain to play a extra lively position in producing renewable vitality and dealing on vitality effectivity measures to maintain their information facilities working.

Whereas the tech behemoths are all investing in wind and photo voltaic vitality, Microsoft has begun trying into the nuclear choice to gasoline a few of its information facilities.

See also  Cloud Data Center Market Analysis, 2018-2033 | A $46+ Billion Opportunity by 2028

Analysts at Barclays warn that governments have but to think about the consequences of accelerating web use on their energy grids, predicting related restrictions shall be applied globally within the coming years.

This might pile strain on the $220 billion information heart and cloud business, which is anticipated to rise to $418 billion by the tip of the last decade as international information calls for surge.

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