A new research study by TRENDS Research and Advisory reveals that the rapid advancement in AI has significantly increased demand for energy. The study shows that the growing demand for massive computing power to operate complex AI models has led to a sharp rise in energy consumption at data centers around the world.

The study, published by TRENDS’ Office in Turkey under the title “The Energy Demand of AI and Server Hubs” emphasizes that data centers, which already account for a significant share of global electricity consumption, are under increasing pressure to meet the growing needs of AI. Projections indicate that energy consumption will double in these centers during the next few years.

Prepared by Melek Öztürk, Principal Research Consultant – Turkey, the study highlights that this surge in energy consumption presents serious environmental and economic challenges, as it pushes energy prices upward and affect countries’ ability to achieve their climate goals.

Despite these challenges, the study emphasizes the existence of enormous opportunities. The global competition to attract data center investments drives countries to develop advanced infrastructure and renewable energy resources. It also encourages innovation in cooling technologies and energy efficiency solutions.

The study deals with the increasing energy demand, indicating a sharp rise in energy consumption for powering AI models in data centers. It discusses environmental and economic challenges resulting from high energy prices, and the impact of that on national economies. At the same time, it explores opportunities such as attracting investments, developing infrastructure, and innovating in renewable energy technologies, as well as global competition to attract data center investments.

The study urges governments and policymakers to take immediate action to address these challenges by investing in renewable energy, adopting policies that promote energy efficiency, and enhancing international cooperation in research and development.