So AI needs a ton of energy

The video explains that while the tech sector currently uses a small portion of the energy grid, its consumption is expected to double with AI and other technologies, and this growth must be socially justified by delivering real-world value. It also highlights that the industry can support sustainable energy development and environmental goals through responsible energy use and by focusing on societal benefits, ensuring technological progress aligns with sustainability and social good.

The video discusses the current energy consumption of the technology sector, highlighting that it accounts for only about 2-3% of the total power grid. While this is a relatively small share, the sector’s energy use is expected to double as AI and other technologies become more prevalent. However, for this increase to be sustainable, the industry must gain social approval and demonstrate that it creates significant value in the real world.

The speaker emphasizes the importance of aligning technological advancements with societal needs, such as healthcare, broad knowledge work, and small business productivity. By focusing on these areas, the tech industry can justify increased energy consumption and secure the social permission to expand its use of scarce resources like energy. This approach ensures that technological growth is responsible and beneficial to society at large.

Furthermore, the speaker points out that the tech industry is a major consumer of energy and, in a way, acts as a subsidy for new energy projects. By investing heavily in energy consumption, the industry helps drive the development of sustainable energy infrastructure. This creates a cycle where technological progress supports environmental goals, provided it is managed responsibly.

The discussion also touches on the economic aspect, suggesting that the industry should aim to deliver tangible value—such as tokens per dollar or watt—that fosters economic prosperity. This focus on efficiency and value creation can help justify continued energy use and support sustainable growth, ensuring that technological advancements contribute positively to society and the environment.

Finally, the speaker expresses appreciation for the conversation, indicating that sharing this perspective can help address concerns about the environmental impact of technology. They plan to communicate these ideas to skeptics, emphasizing that with responsible management and societal support, technological progress can be aligned with environmental sustainability and social good.