· 2 min read
⭐ Enjoy illuminem? Join our Community, with the best of what we offer!
illuminem summarises for you the essential news of the day. Read the full piece on Forbes or enjoy below:
🗞️ Driving the news: The "AI bubble" narrative is a misdiagnosis of the current technological landscape, according to Jason Snyder
• Rather than being a speculative bubble, AI’s rise is a fundamental transformation driven by energy
• AI operates not like traditional software, but like infrastructure — relying on energy consumption and thermodynamics
• Unlike past tech booms, the demand for AI infrastructure is real, with multi-year contracts from businesses and governments showing that this growth isn’t based on speculative value, but genuine need
🔭 The context: AI is powered by continuous computation, and every action requires significant electricity
• Nvidia and Microsoft report demand exceeding supply, showing an energy shortage for AI infrastructure, not speculative overvaluation
• The early days of past infrastructure, like electricity and railroads, looked irrational but became essential to modern economies
• Unlike previous booms, where demand was projected, AI demand is contractually guaranteed
🌍 Why it matters for the planet: As AI expands, its energy consumption will have a significant environmental impact
• Managing this demand with sustainable energy sources is critical to minimizing the ecological footprint of AI systems
• The key challenge ahead is balancing AI growth with responsible energy use
⏭️ What’s next: Governments must focus on energy-efficient AI models and sustainable infrastructure to manage AI’s environmental impact.
• The next phase of AI will require measuring its true costs, especially its environmental footprint, and ensuring sustainable development.
See on illuminem's Data Hub™ the sustainability performance of leading tech companies like Nvidia, Microsoft, and Apple
Click to read more news covering the latest on green tech
