Coal back in favour as US plant bidding war highlights rising demand to power AI
What happened
A competitive bidding war for a U.S. power plant reveals that coal is making a comeback to help satisfy the massive energy demands of artificial intelligence. As tech companies rush to secure electricity for power-hungry data centers, they are increasingly relying on traditional fossil fuels. This trend underscores the unexpected environmental and infrastructural toll of the AI boom.
Why it matters
The surging energy demands of AI threaten to stall corporate climate goals and strain local power grids, likely forcing tech companies to invest more heavily in dedicated green energy sources to avoid using coal.
Is this a big deal?
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