top of page

How AI’s energy hunger upends IT’s procurement strategy

Eddie Campbell

Jun 10, 2024

The EPRI Projects Data Center Power Consumption Could Increase by 166% by 2030!

The Electric Power Research Institute projects that total data center power consumption by U.S. data centers alone could more than double by 166% by 2030.


A recent VentureBeat article discusses the rising demand for AI-powered applications, the challenges enterprises face in securing the necessary hardware and data center capacity, and potential changes in data center sourcing strategies. Here’s a summary:


- AI Demand & Challenges: The demand for AI applications is soaring, leading enterprises to seek out energy-intensive GPU-equipped servers and ensure sufficient data center capacity.


- Hyperscale Approach: Enterprises need to think more like hyperscale companies, securing long-term data center capacity to support their growth plans.


- Procurement Shift: Companies may need to move away from the "three bids and a buy" model and opt for longer-term partnerships with data center and equipment providers.


- Future Planning: Proactive and forward-looking data center planning is crucial for enterprises aiming to compete in an AI-driven future, even if it requires significant upfront investments.


The article emphasizes the importance of strategic planning and resource management in the era of AI and high-tech applications.

bottom of page