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All issuesVolume 328, Issue 5IT NewsOperations

How Data Centers Can Tame The AI Energy Beast While Boosting Performance

DataCenter Knowledge, Thursday, July 31st, 2025

As AI drives unprecedented energy demands, smart data centers are using the very technology causing the surge to slash consumption and costs, writes Carsten Baumann.

The demand for data centers is skyrocketing, driven by the rapid adoption of AI and the overall digitization across sectors and in everyday life. By 2030, data centers' total energy demand is expected to more than double, reaching 945 terawatt hours (TWh), surpassing Japan's total energy consumption. Projections show that AI-related energy consumption could skyrocket from 100 terawatt-hours (TWh) in 2025 to as high as 785 TWh by 2035.

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