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Data Center News > Blog > Colocation > Industry Gathers to Tackle Power, AI Scaling Challenges
Colocation

Industry Gathers to Tackle Power, AI Scaling Challenges

Last updated: April 15, 2025 4:03 pm
Published April 15, 2025
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Industry Gathers to Tackle Power, AI Scaling Challenges
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Information Heart World 2025 formally opened its doorways in Washington, D.C. on Tuesday (April 15), with hundreds of delegates from world wide gathering to deal with the dual problem of scaling for AI and constructing sustainably.

Invoice Kleyman, AFCOM Information Heart World Program Chair, set the scene throughout his opening remarks by noting that hovering demand and elevated consciousness of knowledge facilities have been being tempered by mounting constraints.

“Our trade is having a second,” Kleyman mentioned. “The information middle trade faces unprecedented challenges throughout the board, skyrocketing demand, provide chain constraints, and a quickly evolving workforce. However essentially the most crucial concern, our greatest barrier to entry on this trade, is energy: sourcing it sustainability and ensuring that it is scalable for a really AI-driven future.”

Analysts agreed that the necessity for scalable, resilient infrastructure is extra urgent than ever. Information Heart World was once more prefaced by the Omdia Analyst Summit, held Monday. The summit provided a snapshot of the trade’s present state and predictions for the longer term.

The Omdia Analyst Summit at Information Heart World drew a packed crowd. Picture: James Walker.

Vlad Galabov, analysis director at Omdia’s cloud and information middle observe, acknowledged that the trade could be price $1 trillion by 2030.

He additionally famous that AI’s share of knowledge middle energy capability has already exceeded expectations – and is now forecast to succeed in 27% of whole consumption by the top of the 12 months.

Associated:Information Facilities to Drive Surging International Energy Demand – IEA

“We predict 70% of the income alternative will come from AI,” Galabov mentioned.

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Discovering Gas for the Future

The theme for this 12 months’s Information Heart World is ‘Powering the Business’s Future’ – and few subjects loomed bigger than power provide and the necessity to scale sustainably.

Dave Bell, vice chairman of knowledge middle and microgrid improvement at VoltaGrid, took to the Information Heart World primary stage to spotlight the numerous power consumption of knowledge facilities, at present at 176 TWh yearly and projected to rise to 325-580 TWh by 2025-2027.

Citing official information, Bell famous that information facilities eat round 4.4% of U.S. electrical energy, with pure fuel accounting for 43% of the grid’s power.

“The information middle market makes use of extra pure fuel than the cities of New York, San Francisco, and Chicago mixed,” he mentioned. “Within the U.S., we have now an immense capability for pure fuel. That gas is round in all places. However as my grandma used to say: waste not need not.”

With demand for digital infrastructure providers solely anticipated to develop over the approaching years, Bell emphasised the significance of effectivity and proximity, suggesting that information facilities colocate nearer to pure fuel basins just like the Permian Basin to cut back transmission losses and decrease prices.

Associated:Can Hybrid Vitality Techniques Resolve the Information Heart Energy Downside?

Data Center World 2025 digital banners

Information Heart World 2025 takes place on the Walter E. Washington Conference Heart in Washington, D.C. Picture: James Walker.

Business pioneer Christian Belady, who accepted the 2025 AFCOM Lifetime Achievement Award throughout Tuesday’s opening ceremony, expanded the dialog past energy and power – pointing to the fragile interaction of challenges shaping the trade’s future.

See also  US Data Center to Add Batteries Without Lithium Mined Overseas

“We will not simply take into consideration energy,” Belady mentioned. “We now have to consider the entire provide chain. We’re rising at such a speedy charge that it is now not about one concern. We now have to consider requirements. I take a look at among the struggles we have now in changing over to liquid cooling, which is far wanted within the trade.

“The issue is that every little thing is a boutique answer. Individuals have to come back collectively and standardize. I believe collaboration goes to be an enormous deal sooner or later.”

In the end, Belady urged the trade to behave with higher ambition.

“Once I take a look at the place this trade is, it’s nonetheless to start with,” he mentioned. “Working at Microsoft, we have been at all times speaking about “10x”. However in actuality, we have been considering too small.”



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