GS SUSTAIN: AI/Data Centers: Power Demand, Cyclical Progression, and Sustainability Implications

AI hyperscalers’ increased spending, server/model productivity gains and US community pushback to data center development are raising questions about how long the AI innovation cycle can continue to fuel the Reliability investment theme. Goldman Sachs Research explores the key growth drivers and constraints of AI-related power demand, lessons from the shale innovation cycle, and AI’s sustainability implications.