AI is a major driver of increased energy consumption, primarily through data centers, as AI models require vast computing power to train and run.

 

AI is a major driver of increased energy consumption, primarily through data centers, as AI models require vast computing power to train and run. This is leading to concerns about straining power grids and necessitates a focus on energy-efficient hardware, smarter data center operations, and the use of renewable energy sources to mitigate the environmental impact.                  

 

 Why AI uses so much energy    

Data centers: AI's energy demand is concentrated in data centers, which house servers that consume power to process and store data. 

Computationally intensive: Both training and running AI models, especially large ones like large language models, are extremely computationally expensive, requiring massive amounts of processing power. 

Cooling: Servers generate significant heat, and a large portion of a data center's energy consumption goes towards cooling systems.  Each prompt adds up: The energy used per query is small (e.g., \(0.17\) to \(2\) watt-hours for text generation), but the cumulative effect of billions of prompts a day is substantial.            

 

  Projected energy consumption   

 Significant growth: The energy consumption of data centers, driven significantly by AI, is projected to grow substantially in the coming years.  Global impact: Data center electricity consumption could roughly double from \(1\%\) in 2022 to over \(3\%\) of global electricity demand by 2030. 

National impact: In some countries like the US, AI's share of electricity demand is projected to grow even faster, potentially straining grids and impacting overall electricity use.              

 

Strategies to address the energy impact     Energy-efficient hardware: Developing more efficient processors and hardware is crucial for reducing power consumption. 

Smarter data center operations: Optimizing cooling systems and designing more efficient data centers can significantly lower energy use.  On-device AI: Shifting some AI processing from the cloud to local devices can reduce energy consumption by a large factor. 

Renewable energy sources: Powering data centers with renewable energy is a key strategy to reduce the carbon footprint associated with AI energy use. 

More efficient AI models: Creating smaller, more efficient AI models can also help mitigate energy consumption.  We did the math on AI’s energy footprint. Here’s the story you haven’t heard.20 May 2025 — AI around the corner What we've seen so far is that the energy required to respond to a query can be relatively small, MIT

 

Technology Review

Why AI uses so much energy—and what we can do about it8 Apr 2025 —

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Data centres consume vast amounts of electricity, with projections showing a doubling of energy use from 2024 to 2027. P...The World Economic ForumAI's energy dilemma: Challenges, opportunities, and a path forward21 Jan 2025 — AI's energy consumption ... The electricity demand of data centres, from hyper-scale facilities to micro edge deploymen...

The World Economic ForumThe Debilitating Energy Cost of AI15 Mar 2025 — but now energy is being seen as the critical. factor. how do we power the data centers. i think we would probably build...YouTube · Interesting EngineeringThe Real Cost of Your AI Use: Inside a Power-Hungry Data Center6 Aug 2025 — welcome to an AI data center where you can hear visible. power right now. and feel this can blow dry my hair the power A...YouTube · The Wall Street JournalThe role of AI in growing demand for electricity and water underscores the importance of enhancing efficiency and reliance on green energy7 Oct 2025 — It also illustrates the immense cumulative effect of this technology when deployed across billions of applications. This...LinkedInRelated linksWe did the math on AI’s energy footprint. Here’s the story you haven’t heard.20 May 2025 —

 AI around the corner What we've seen so far is that the energy required to respond to a query can be relatively small, MIT Technology ReviewWhy AI uses so much energy—and what we can do about it8 Apr 2025 — Artificial intelligence (AI) is becoming an integral part of daily life, powering everything from digital assistants to ...Institute of Energy and the EnvironmentThe increasing energy demand of artificial intelligence and its impact ...More specifically, the electricity consumption of AI-driven data centres is expected to rise by 90 TWh, contributing 20 percentage...European Central BankShow allRelated links