The surge in AI-driven datacenter demand shows no signs of slowing. Alphabet, Google’s parent company, has announced the acquisition of Intersect, an energy and infrastructure firm, for $4.75 billion. This move aims to bolster Google’s power resources to support expanding datacenter capabilities. Intersect comes with a promise of abundant green energy to fuel AI growth.

Concurrently, Elon Musk’s xAI is planning significant growth in its infrastructure. Reports suggest that Musk’s firm is constructing an additional facility in Mississippi to expand its training capacity to nearly 2 GW.

Despite rapid expansion, concerns linger about the sustainability of AI investments. There’s a growing sentiment in the industry that the current AI investment bubble might not align with future revenue predictions.