US President Joe Biden has signed a historic executive order to strengthen national security and accelerate the construction of domestic AI infrastructure. It allows private companies to build gigawatt-scale AI data centers on federal land.
With an aim to strengthen artificial intelligence (AI) infrastructure in the US, President Joe Biden signed an important executive order in the last days of his term. The order directs the Department of Defense (DoD) and the Department of Energy (DoE) to lease federal land to private companies to build gigawatt-scale data centers.
Biden said, “AI will have a profound impact on our economy, medicine, transportation and education. It is so important that it cannot be left to foreign outsourcing.” This statement makes it clear that the US is emphasizing on strengthening its infrastructure for AI at home.
Growing needs of AI infrastructure and energy challenges
AI models, such as OpenAI’s ChatGPT, rely on data centers to train massive amounts of data. According to a report by the International Energy Agency (IEA), power consumption of data centers, AI and cryptocurrencies is expected to double between 2022 and 2026. In such a situation, it becomes imperative that the energy requirements of AI infrastructure are met with clean energy.
Biden’s order clarifies that the companies that will build these leased data centers will not only have to bear the full cost of construction, operation and maintenance, but the energy they use should also be clean. This step has been taken to prevent the rise in electricity costs.
Tech companies move towards clean energy
Big companies like Google, Microsoft and Amazon are already looking for alternative energy sources to run their data centers. Recently, Microsoft has signed a deal with Constellation Energy, the largest nuclear power plant operator in the US. Under this, the Three Mile Island nuclear power plant will be restarted.
Other key provisions of the order
- US semiconductor purchases: Companies taking land on lease must buy a “fair share” of US-made semiconductors.
- Fair wages for workers: These companies have been directed to pay the “current prevailing wage” to workers.
- Lease proposal process: Once government agencies select the site, developers will be able to submit their lease proposal.
Many experts believe that the move will boost national security as well as accelerate indigenous AI research and development. An industry expert said, “This order is an important step to keep the US in global AI leadership. Emphasis on clean energy and domestic production will make it more stable.”
Potential impact:
- Huge increase in AI-based jobs likely in the US.
- Environmentally friendly energy sources will get a boost.
- Tech companies will now operate more competitively in line with US policies.
This order by Biden will not only accelerate the expansion of AI infrastructure but will also ensure that the US remains a leader in future technologies.
Note: This article is based on current events, expert opinions and latest reports.
