Big Tech is turning into Big Energy
The race to build bigger and bigger AI data centers is creating huge demand for new power infrastructure. So much so that the biggest names in tech are getting into the energy business themselves.
The New York Times dives into the complicated relationship between tech companies building data centers, the utility companies that supply their power, and the state regulators who write the rules.
Tech companies like Amazon, Google, Apple, and Microsoft have had energy-producing subsidiaries for several years now, and the current boom is starting to generate profits in addition to power, the report found.
But while the energy companies are welcoming tech customers and their deep pockets, state energy regulators are pushing to create new tiers of service that are targeted at data center customers, something that the tech companies are pushing back hard on.
Critics worry that the data center boom will pass on the massive costs of the new energy infrastructure needed for AI to households and businesses that are already seeing price increases.
Tech companies like Amazon, Google, Apple, and Microsoft have had energy-producing subsidiaries for several years now, and the current boom is starting to generate profits in addition to power, the report found.
But while the energy companies are welcoming tech customers and their deep pockets, state energy regulators are pushing to create new tiers of service that are targeted at data center customers, something that the tech companies are pushing back hard on.
Critics worry that the data center boom will pass on the massive costs of the new energy infrastructure needed for AI to households and businesses that are already seeing price increases.
