Geothermal Energy: Big Tech's Answer to AI's Growing Energy Consumption

Haley Zaremba | Source: Oil Price | Posted 12/26/2024

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The future of geothermal energy is uncertain due to high upfront costs and competition from the natural gas industry.


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The rapid growth of AI is leading to a significant increase in energy consumption, posing a challenge for Big Tech companies to achieve their net-zero emission goals. Silicon Valley giants like Google and Meta are struggling to keep up with the escalating energy demands of AI, causing a surge in greenhouse gas emissions and hindering their decarbonization efforts. The energy-intensive nature of AI technologies, such as generative AI systems, is driving a surge in energy consumption, with projections suggesting that the AI sector could consume 3.5 percent of global energy by 2030.

To address the escalating energy consumption associated with AI, Big Tech firms are exploring clean energy alternatives like geothermal energy as a sustainable solution. Geothermal energy has emerged as a viable option, benefiting from advancements in drilling technology. Companies like Meta and Alphabet are partnering with geothermal startups to power their data centers, but the high upfront costs of geothermal development and competition from the natural gas industry present significant challenges to its widespread adoption. Despite its potential, the future of geothermal energy remains uncertain amid the growing dominance of natural gas in the energy sector.



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