Sen. Elizabeth Warren (D-Mass) warned that the rapid expansion of artificial intelligence infrastructure is increasing electricity demand while private equity firms move to capitalize on the energy shift by acquiring utility companies.
AI Energy Demand And Private Equity
On Tuesday, in a post on X, Warren said, “AI data centers are doubling electricity demand,” arguing that the rapid expansion of AI infrastructure is increasing pressure on the U.S. power grid.
She added, “Private equity executives see a cash grab.”
Warren claimed those firms are acquiring utility companies to benefit from rising energy demand.
“They’re buying up utility companies to cash in on the energy surge and pass costs to consumers while making services worse,” she wrote.
She added, “I’m fighting back.”
AI Power Demand Surges Globally
Earlier, the rapid growth of AI has significantly increased electricity demand worldwide, reshaping how data centers and chipmakers operate.
Data center developers have increasingly turned to on-site power generation after facing grid constraints and long connection delays, as AI workloads require far more energy than utilities can quickly supply.
Taiwan Semiconductor Manufacturing Company Ltd (NYSE:TSM) also prioritized energy efficiency, with executives noting that future chip designs are focusing on delivering higher performance while reducing power consumption through advanced packaging and next-generation technologies.
Meanwhile, Goldman Sachs projected that global data center electricity use could rise 220% by 2030, reaching record levels driven by AI infrastructure expansion and rising demand for high-performance computing.
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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