The exponential growth of AI has the US energy sector scrambling to respond to historic demand for power from datacenter operators as they add new capacity to support intensifying workloads. Meeting this demand will require a multipronged approach, including upgrading and expanding the aging transmission infrastructure, increasing electricity generation via renewables and reimaging nuclear and fossil fuel power plants.

This will likely lead state policymakers to reassess their approach to decarbonization and clean energy efforts. Adding to this, the US will need to quickly join the international race to secure reliable supplies of critical minerals needed for datacenter expansion and the energy transition. A challenging time lies ahead.