Energy crisis erupts from data center function
In a remarkable show of commitment and innovation, the renewable energy sector gathered at this year's RE+ convention in Las Vegas, with nearly 40,000 delegates in attendance. Amidst the upbeat and resolute mood, the era of growth-by-tax incentive was giving way to a new age - the mad rush for AI to scale up its power consumption.
Oracle announced its partnership with OpenAI, hosting the latter's Stargate project at Crusoe Energy's project in Abilene, Texas. This project, a 350 megawatt natural gas-fired power plant, serves as a temporary baseload as the grid expands, later transitioning to a backup role.
The need for scalable energy solutions was a recurring theme. Keith Heyde, OpenAI's director for infrastructure strategy and development, highlighted that current solutions do not scale to the numbers required for the energy transition. Varun Sivaram, CEO of Emerald AI, discussed the flexing of AI workloads to preserve performance while meeting the grid's needs during periods of stress.
Crusoe Energy's project in Texas is not the only one on the horizon. The company is planning a project with Tallgrass in Wyoming, where a massive data center complex with up to 10 gigawatts of capacity is planned. However, the challenge lies in sourcing the gas turbines for such projects.
Vibhu Kaushik, global head of energy at AWS, expressed a concern about being a curtailable load in the market. He advocated for a grid-first approach in accommodating hyperscalers' urgent need for gigawatts.
CEOs and trade association leaders declared their commitment to the energy transition. Dylan Patel, CEO of SemiAnalysis, argued that hyperscalers like Google, Meta, Amazon, Microsoft, Oracle, CoreWeave, OpenAI, and Anthropic will drive the market for years.
The energy industry's new center of gravity was clear at Yotta 2025. Heyde and Malone from OpenAI emphasised the need for more from energy solutions providers in the coming years, particularly in terms of deploying power, acquiring equipment, and financing.
Elsewhere, the Viettel Group made significant investments in digital transformation infrastructure from 2023 to 2025, including extensive 4G and 5G network deployment, digital management systems, and security solutions, contributing to local digital transformation in Gia Lai province, Vietnam.
The RE+ convention generated billions in revenue and millions of domestic jobs, underscoring the economic potential of the renewable energy sector. Despite the Trump administration's attack on renewables, the mood remained optimistic, reflecting the industry's resilience and determination.
Emerald AI demonstrated their platform's capabilities with partners like Nvidia, Databricks, and Oracle, showcasing the flexing of compute for AI workloads. The convention served as a testament to the exciting times ahead as AI and energy sectors converge, promising a future of innovation and sustainable growth.
