Technology

How AI Impacts Data Center Energy Consumption

27 Nov 2024

As data centers grow more powerful, their energy consumption has become one of the biggest concerns for the IT sector.

In the modern tech environment, data is at the heart of innovations like cloud computing, artificial intelligence (AI), automation, and the Internet of Things (IoT). However, the infrastructure needed to store, secure, and manage vast amounts of data brings a pressing challenge for the IT industry: the energy consumption of data centers.

Data generation, processing, and storage growth means companies increasingly depend on data centers to drive innovation and adopt new technologies. As one of the fastest-expanding sectors—with projections showing it will grow from $98.52 billion in 2023 to $243.12 billion by 2028—the energy required to power these facilities remains a top concern for tech leaders.

AI development will play a pivotal role in future energy demands for data centers. Aerodoc provides insights to help navigate this evolving trend.

How Much Power Do Data Centers Use?

According to a report from the International Energy Agency (IEA), data centers account for 1% to 1.5% of global electricity usage, translating to approximately 200 terawatt-hours annually—enough to power an entire country. What’s more concerning are future projections: by 2030, energy consumption could multiply tenfold, accounting for between 4% and 9% of global electricity.

Some hyperscale data centers, like those operated by tech giants such as Google, Amazon, Meta, and Microsoft, require over 100 MW of power—equivalent to the energy consumption of a small city. This power is used not only for IT servers and equipment (40% to 60% of consumption) but also for cooling systems, lighting, and backup support (30% to 50% of demand).

AI’s Influence on Data Center Power Consumption

The growth of AI and the development of more sophisticated models—which require substantial computing power for training—significantly contribute to increased energy consumption in data centers. A single AI training session can consume thousands of kilowatt-hours.

DATA CENTER

Algorithms, particularly those behind large language models (LLMs) like the technology powering ChatGPT, demand extensive processing capacity and, as a result, a larger infrastructure footprint to store all necessary data.

Enhancing Data Center Energy Management with AI

Despite its substantial energy requirements, AI can also be a powerful tool for optimizing data center energy management. It can automatically balance workloads, fine-tune cooling systems, and lower the environmental footprint.

As Industry 4.0 progresses—a transformation in manufacturing that leverages technologies like automation, connectivity solutions, agility, and advanced data analytics—AI-driven energy management will be essential to achieving more efficient processors and safer storage solutions.

In this context, renewable energy sources offer a viable pathway to balancing energy demand, reducing environmental impacts, and maintaining operational efficiency.

Sustainable Strategies for Energy Efficiency

Many companies are investing in renewable energy sources to monitor and manage energy use, reduce fossil fuel consumption, and reduce their carbon footprint. The IEA forecasts that by 2030, over 40% of the energy used by data centers will come from renewables.

Data Center

At the same time, energy storage systems like batteries allow companies to manage peak demand periods more effectively, optimizing energy use and offsetting solar or wind power availability fluctuations. Data suggests that renewable energy investments can yield long-term financial advantages, cutting operational costs through lower energy rates and reducing dependency on the power grid.

The Global Expansion of Data Centers

The worldwide growth of data centers and the rapid pace of digital transformation call for proactive measures to mitigate the impact of energy consumption. AI plays a dual role, driving energy demand and providing opportunities for better resource management and optimization. Meanwhile, renewable energy will be crucial in supporting future tech developments.

At Aerodoc, we’re committed to supporting the global distribution of data center equipment. Our Delivery Duty Paid (DDP) with Importer of Record (IOR) service has enabled numerous companies to navigate complex import processes, accelerating their implementation of critical infrastructure.

For years, we’ve partnered with industry leaders, playing a pivotal role in the globalization of data center capabilities.

Contact our team for more details about Aerodoc’s DDP with IOR services.

 

Q&A

How does Artificial Intelligence impact the energy consumption of data centers?

AI, mainly when training advanced models, increases processing demands, significantly boosting data center energy consumption.

How much energy do data centers consume globally?

Data centers consume between 1% and 1.5% of the world’s electricity, with projections suggesting this percentage could rise to 9% by 2030.

Why is the growth of data centers linked to increased energy consumption?

The expansion of data centers, driven by the need to store large volumes of information and perform advanced processing for technologies like AI, generates a higher energy demand to sustain their infrastructure.

How can renewable energy sources mitigate the energy impact of data centers?

Renewable energy sources like solar and wind offer a more sustainable alternative to fossil fuels, enabling data centers to reduce their carbon footprint and optimize energy consumption.

What role does AI play in optimizing energy use in data centers?

Despite increasing energy demand, AI can also help optimize energy usage by automatically balancing workloads and managing equipment cooling more efficiently.

 

Topics on this article: artificial intelligence | data centers | IT

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