Data Center Electricity Consumption Approaches City-Scale Levels
As artificial intelligence (AI), large language models, and cloud computing continue to expand at an unprecedented pace, data centers are rapidly becoming one of the fastest-growing sources of electricity demand worldwide. The exponential growth in computing power requirements is placing increasing pressure on global energy systems, power infrastructure, and supply reliability.
Global Data Center Electricity Consumption Continues to Rise
Industry data indicates that global data center electricity consumption is expected to reach approximately 448 terawatt-hours (TWh) in 2025, equivalent to 448 billion kilowatt-hours. This level of consumption is already comparable to the annual electricity usage of some mid-sized countries. Currently, data centers account for roughly 1% of global electricity demand, and this share is rising steadily.
In hyperscale data centers, the power demand of a single campus can now rival that of a small or medium-sized city. As a result, data centers are transitioning from being energy-intensive facilities to becoming critical nodes within national and regional power systems.
AI Emerges as the Primary Driver of Power Demand Growth
Compared with traditional IT workloads, AI applications require significantly higher computing density and energy intensity. Large-scale model training, real-time inference, and high-performance computing clusters operate continuously, pushing electricity consumption to new levels.
According to multiple international forecasts, global data center electricity demand could reach 950–1,000 TWh by 2030, nearly double the level projected for 2025. AI-optimized servers are expected to be the main contributor to this increase, with their share of total data center electricity consumption rising from around 20% today to more than 40% by the end of the decade.
BP has noted in its energy outlook that the growth in energy demand driven by AI could be up to 20 times faster than the historical growth rate of data center electricity consumption, highlighting the scale of the challenge ahead. AI is no longer only a computing revolution—it is also a major energy transformation.
Power Costs and Supply Reliability Become Critical Constraints
As electricity usage expands, power costs now represent 40–50% of total data center operating expenses, making energy the single largest cost component. Grid capacity limitations, electricity price volatility, and increasing risks from extreme weather events are already influencing data center investment decisions and site selection.
For AI-driven data centers, power requirements are not only about volume but also about stability and continuity. Even short power interruptions can result in service outages, data loss, and significant financial impact.
Backup Power Systems Become Essential Infrastructure
Against this backdrop, high-reliability backup power systems are evolving from optional safeguards into core data center infrastructure. In the event of grid instability or outages, backup systems must provide rapid, seamless power transition to maintain continuous operation of servers, cooling systems, and other critical equipment.
Today, large and hyperscale data centers typically rely on multi-unit diesel generator systems operating in parallel as their final line of defense. Compared with other backup solutions, diesel generators offer fast startup, wide power coverage, and strong capability for sustained high-load operation—making them particularly well-suited to mission-critical data center environments.
As AI data centers grow in scale and complexity, backup power systems are facing higher technical requirements, including:
Higher single-unit capacity and stable parallel operation
Lower emissions and reduced noise levels
Intelligent control systems and remote monitoring
Seamless integration with energy storage systems and renewable energy sources
The Endgame of AI Is Power
“The endgame of AI is electricity” is increasingly becoming a shared view across the industry. As the global economy advances toward digitalization and decarbonization simultaneously, ensuring secure, efficient, and low-carbon power supply for data centers will remain a long-term challenge.
Investment in data center power infrastructure, backup power systems, and high-reliability energy solutions is expected to continue growing in the coming years, positioning electricity at the center of the global AI and digital economy transformation.
