This technology, called demand response, has been around for decades now, where large operators reduce their demand in response to a peak in demand from other consumers. Before automation, grid operators would manually call up industrial customers like steel mills and ask them to cut consumption to ensure the reliability of the entire grid. But with modern technologies and IoT, it can now be done automatically, allowing data centers to reduce their load in under a minute. In fact, Nvidia has already been experimenting with a similar system in the UK and has proven that it works.
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OpenAI and Anthropic scramble for smaller data centers as massive gigawatt projects lag
OpenAI considers rebranding data centers to 'AI compute campuses" as data center backlash intensifies
America's largest grid wants to cut power to new data centers first during shortages
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Key considerations
- Investor positioning can change fast
- Volatility remains possible near catalysts
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Reference reading
- https://www.tomshardware.com/tech-industry/data-centers/SPONSORED_LINK_URL
- https://www.tomshardware.com/tech-industry/data-centers/openai-introduces-program-to-reduce-ai-data-center-energy-demand-during-peak-hours-company-testing-grid-protectors-program-system-in-georgia#main
- https://www.tomshardware.com/membership
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