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Kevin O’Leary, well-known investor and star of “Shark Tank,” stated on Wednesday that artificial intelligence (AI) data centers and
Bitcoin (CRYPTO:
BTC)
mining operations are actively “competing” for the limited supply of electricity throughout North America.
During a Moneywise interview, O’Leary shared his insights on the energy situation in the region, pointing out that U.S. power grids are running low on available capacity.
“The relentless need for AI data centers is creating a significant challenge. We are experiencing a shortage of available power on the grid,” explained O’Leary, also known as “Mr. Wonderful.”
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He further commented that the placement of AI data centers and Bitcoin mining facilities could lead to increased local electricity prices, which regulators are keen to avoid.
“There’s considerable competition taking place,” O’Leary noted, highlighting the tension between Bitcoin miners and the energy-intensive needs of AI data centers.
The Electric Power Research Institute forecasts that electricity consumption by U.S. data centers may account for as much as 9% of the nation’s total electricity production by 2030, more than doubling current levels.
Additionally, industry analysts project that by the close of 2027, around 20% of the power capacity used by Bitcoin miners will be redirected toward AI and high-performance computing applications.
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Consequently, numerous Bitcoin mining firms are increasingly shifting their energy resources to AI data centers, re-purposing their existing infrastructure, and either selling or leasing capacity to AI companies.
CoreWeave Inc. (NASDAQ: CRWV), which began as an
Ethereum (CRYPTO:
ETH)
mining venture, has successfully transformed into an AI cloud service provider, forging partnerships with
Nvidia Corp. (NASDAQ:
NVDA)
and
OpenAI.
Photo courtesy: Kathy Hutchins / Shutterstock.com
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