AI Boom to Triple US Power Equipment Market to $65 Billion
(Bloomberg) -- US spending on power-plant equipment is expected to triple through 2030, primarily driven by the growth of data centers that may account for as much as 40% of total investment, according to a report Tuesday from Wood Mackenzie Ltd.
The US market for electrical equipment is projected to reach $65 billion by 2030, up from $20 billion in 2025, with data-center capacity expected to increase more than 350% to 110 gigawatts.
The staggering growth reflects the massive buildout of computing systems in the US, where the race to deliver artificial intelligence systems has been deemed a matter of national security by the Trump administration. Data centers accounted for less than 2% of the power-equipment market in 2020, but the energy-hungry facilities are expected to drive 68% of total load growth through 2030.
“The scale of planned development underscores the urgency,” according to the report. “Even accounting for expected project attrition, grid-connected data center capacity is expected to nearly quadruple in the next four years.”
Still, the boom in energy demand is driving up costs and wait times for power-generation equipment, a shift that will hinder development. About 600 gigawatts of proposed data center projects is still working to line up electricity supplies, compared with 183 gigawatts that have signed construction or power-supply deals with utilities, the report found.
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