Working Together to Solve North America’s Power Challenges

As technology evolves, so too must our approach to power infrastructure.

Power is the biggest challenge facing the data center industry today, in North America and across the globe. The data center industry’s incredible growth is being fueled by the rapid expansion of Internet usage, increased accessibility to the Internet,  and the ongoing evolution of online technologies. This trend, coupled with the proliferation of both traditional and generative artificial intelligence (AI) and the continued growth of cloud computing, has increased the existing strain on the power grid in a growing number of markets due to its immense scale and concentration in certain areas.

To provide a startling example, the computing infrastructure required to support machine learning and AI applications can reach up to 100kW+ per rack—10+ times what is needed for traditional applications. All of this upscaling is happening in tandem with a level of factory building in the US not seen since the ’90s, driven in part by the increased onshore production of the chips needed to power AI. Moreover, the surge in demand for electrification and other types of factories being built in the US reflects a broader trend towards reshoring manufacturing and strengthening domestic supply chains, particularly in critical sectors like automotive, electronics, and renewable energy.

Altogether, the amount of power that utilities are projecting for the years ahead continues to rise, leading consulting firm Grid Strategies to declare that “the era of flat power demand is over.” That same report notes that grid planners have nearly doubled the five-year load growth forecast.

To be clear, the advancements in AI and cloud computing are exciting. They enable the expansion of next-generation applications that enhance efficiency, accessibility, and sustainability across various sectors. Beyond revolutionizing industries with modernizations like self-driving cars to even more powerful online banking and telehealth, these technologies also play a pivotal role in promoting environmental sustainability. Data center providers and other stakeholders have an incredible opportunity to bring creative, future-looking solutions to the power constraints we are facing so we can deliver innovation at scale.

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ABOUT THE AUTHOR

Dana Adams is President of Vantage Data Centers’ North America business where she draws from nearly 18 years of experience in the data center sector to oversee the company’s market development, sales, construction, and operations teams across the United States and Canada. Prior to joining Vantage, Adams served as Chief Operating Officer for AirTrunk, a hyperscale data center provider serving the Asia Pacific region, where she was responsible for scaling operations as the company grew from three to ten billion USD. Considered to be one of the most influential female executives in the industry, Adams has been a finalist and winner of several industry leadership awards since 2019.