The rapid expansion of AI is placing significant demands on resources, particularly in Texas, where many data centres are located. These facilities require vast amounts of electricity, leading to concerns about grid reliability and the use of fossil fuels. Some sources estimate that AI searches consume significantly more power than traditional online searches.
Texas attracts AI industries due to its relatively cheap energy, but the surge in demand necessitates substantial investment in both renewable energy and energy storage solutions. Data centres are also exploring ways to participate in demand-side management, adjusting their power usage to help stabilise the grid.
Beyond electricity, water consumption is also a growing concern, especially in drought-prone regions of Texas. The average data centre uses hundreds of thousands of gallons of water daily, and projections indicate a substantial increase in water usage by data centres in the coming years. This highlights the need for careful planning and sustainable practices to mitigate the environmental impact of AI.