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Jensen Huang Says AI Needs "1,000 Times More Power Than We Currently Have." These 3 Industrial Stocks Will Deliver It.
The Motley Fool • • business
Key Points:
- Nvidia CEO Jensen Huang highlighted that AI computing energy needs could be up to 1,000 times greater than current levels, signaling a massive future demand for power in the AI sector.
- Goldman Sachs projects U.S. data center power consumption will more than double from 31 GW in 2025 to 66 GW in 2027, potentially pushing AI's share of national electricity usage to over 8%, with forecasts reaching 12% by 2030.
- GE Vernova, specializing in scalable natural gas turbines and power grid solutions, is well-positioned with a $176 billion backlog, largely driven by gas turbine demand linked to AI data centers.
- Vistra, a power utility focused on wholesale electricity sales, is capitalizing on AI demand through long-term power purchase agreements with tech giants like Amazon and Meta, enabling investments in nuclear power and infrastructure expansion.
- Caterpillar benefits from AI-driven electricity demand by supplying mobile diesel and gas generators and energy storage systems, serving as interim power solutions for data centers awaiting permanent infrastructure.
