America`s power grid is no match for the AI data center boom


America`s power grid is no match for the AI data center boom


Data center demand for computing facilities that can consume as much power as entire cities, but America`s electrical grid is struggling to keep pace.

Data centers are growing faster and bigger than ever as artificial intelligence drives demand for computing facilities that can consume as much power as entire cities, but America`s electrical grid is struggling to keep pace with the breakneck expansion.

Power constraints have emerged as the single biggest bottleneck to building our AI future, according to a new report by JLL that found data center vacancy rates have plummeted to a record low 2.3%. The surge in demand has created an unprecedented mismatch between what companies need and what`s actually available.

The scale of demand has exploded beyond what the industry has ever seen. Just a few years ago, most data centers needed 200 to 300 megawatts on roughly 300 acres. Now, Andy Cvengros, the executive managing director and co-lead of JLL`s US data center markets team, said hyperscalers are requesting sites with 1,000 acres and multiple gigawatts of power...



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RSK: We keep hearing this on a daily basis....the power grid cannot handle the demand from AI centers....but what is anyone doing about it? Raising rates is not the answer.

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- - Volume: 25 - WEEK: 34 Date: 8/19/2025 1:34:02 PM -