Microsoft’s AI Problem Isn’t Chips

Benzinga

Satya Nadella said electricity — not chip supply — is now the biggest constraint on AI growth, with some GPUs sitting idle because data centers lack sufficient power and cooling. The industry is facing infrastructure bottlenecks as AI demand surges, and global data-center electricity usage is projected to rise sharply.

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00:00It's Benzinga, bringing Wall Street to Main Street.

00:02Microsoft CEO Satya Nadella said the biggest obstacle to AI growth is in chips but electricity,

00:07according to The Street. He admitted that some of Microsoft's most advanced GPUs are idle

00:10due to unfinished data centers, not adequate power or cooling.

00:14Nadella's remarks highlight an industry-wide bottleneck as AI demand outpaces infrastructure

00:18capacity. Cloud providers such as AWS and Microsoft have paused data center projects,

00:23while Google partners with utilities to manage grid strain.

00:25The International Energy Agency projects global data center electricity usage could rise by 50%

00:31in 2030, underscoring the limits of the AI boom.

00:35For all things money, visit Benzinga.com.

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