Most AI data centers may never be built. Blame the 'bragawatts.'
Source: Business Insider ·
Analysts estimate that almost two-thirds of announced data center capacity may never get built. Meet the industry's "bragawatts."
From the source
Kevin O'Leary speaks at the University of Southern Indiana.MaCabe Brown / Courier & Press / USA TODAY NETWORK via Imagn Images/ReutersNewcomers like Kevin O'Leary face skepticism due to a lack of experience in data center development.Bernstein analysts dubbed O'Leary and others "bragawatts."Most announced projects will never happen. "Press releases are cheap…concrete is not."The AI industry has a problem with bragging.Companies are announcing enormous new data centers to power the AI boom. Some promise facilities bigger than anything the industry has built before.There's just one problem: Most of these projects may never happen.Bernstein Research analyzed thousands of planned US data centers and concluded that only about 35% of the announced capacity is likely to get built. That's roughly 170 gigawatts of data center capacity out of a total of almost 500 gigawatts.The rest? A significant chunk of it belongs to a category the industry has a wonderfully dismissive name for:…