According to a new report from Goldman Sachs, global data center power demand is expected to increase by 50% by 2027.
The rapid rise of AI will result in a projected 92GW of global capacity. Over the next 2 years, AI is expected to make up a larger chunk of total data center demand, rising to roughly 27% compared to today’s 14%.
To meet this unprecedented growth, Goldman Sachs estimates that we will need $720 billion in new utility infrastructure by 2030.
This will include a mix of natural gas, renewables, nuclear, and grid updates. According to the report, nuclear is expected to play a sizable role due to its low emissions and reliability as a baseload power source.
However, 60% of demand is still expected to be met with natural gas. In the short term, this is the most reliable dispatchable option until more nuclear can be brought online.
