• OpenAI is lobbying the U.S. government to support the construction of 5 GW data centers to advance AI development and stay competitive globally.
  • Experts warn that powering 5 GW data centers, akin to entire cities’ energy needs, presents significant infrastructure and timing challenges.

OUR TAKE
OpenAI has put together a proposal for the Biden administration, asking for support to build lots of data centres in the US to help it develop its AI. The company wants to build data centres with a capacity of 5 gigawatts (GW) each, which is about the same as the energy needs of an entire city. While this could be good for the economy and national security, creating thousands of jobs, experts say there are some big challenges to overcome, mainly around the power grid and infrastructure.
–Heidi Luo, BTW reporter

What happened

OpenAI recently presented a bold plan to the Biden administration, proposing the creation of large-scale data centres with power capacities of up to 5 gigawatts (GW) each. See also: AI data centres face medium-voltage equipment supply bottleneck.

CEO Sam Altman and other tech leaders outlined the economic and security benefits of building such data centres, which would provide essential infrastructure for AI development. To put this in perspective, 5 GW of power is roughly equivalent to five nuclear reactors, or enough to power around 3 million homes.

This push for new data centres comes at a time when the US power grid is facing delays due to supply chain issues and labour shortages. OpenAI’s goal is to build a single 5GW data centre initially, with plans to expand in the future. See also: New York tests data centre load rules.

However, experts such as Joe Dominguez, CEO of Constellation Energy, have expressed scepticism, saying that such a massive project is unprecedented and difficult to achieve in a reasonable timeframe. See also: Amazon ties fibre supply to data centres.

Also read: OpenAI to release ‘Strawberry’ for ChatGPT in next 2 weeks

Also read: New members of OpenAI’s funding round include Apple and Nvidia

Why it’s important

OpenAI’s proposal is an important step in ensuring that the US remains at the forefront of AI technology, especially as competition from China intensifies. The ability to process and train large AI models requires significant computing power, which these massive data centres could provide. See also: Google taps Voltus VPPs for PJM data centre capacity.

Furthermore, Altman and OpenAI argue that building these data centres would spur job creation and GDP growth, strengthening the US economy while ensuring technological leadership. See also: Applied Digital signs 15-year hyperscaler lease for Delta Forge.

Industry experts, however, remain cautious. Joe Dominguez of Constellation Energy stressed that building such data centres would require massive infrastructure investment, while John Ketchum of NextEra Energy pointed to the difficulty of finding sites that could accommodate 5GW of power demand.

Despite these hurdles, OpenAI remains committed to securing the necessary support, arguing that it is critical to national security and technological innovation. See also: US data centres become top office construction segment.