"Upstream" with Erik Torenberg cover image

E126: Data Center Economics and AI Energy Requirements w/ Patrick McKenzie and Azeem Azhar

"Upstream" with Erik Torenberg

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The Evolution of Data Centers and Energy Infrastructure

This chapter explores the historical and current factors affecting data center locations, emphasizing the need for proximity, affordability, and energy efficiency. It details the challenges posed by increasing energy demands from technologies like AI and highlights the importance of investing in diverse energy solutions such as solar and nuclear power. Additionally, the chapter discusses the transformative potential of small modular reactors (SMRs) for future energy needs and the political and financial complexities involved in deploying innovative energy technologies.

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