DeepSeek has surprised the AI industry with the huge electrical energy requirements it needs to run its software with its reasoning capability.
Although reasoning models are not necessarily better for several applications, their rise may catalyse a shift toward more energy-intensive uses.
In 2023, data centers accounted for 4.4 percent of total US electricity use. A report published in December, prior to R1’s release, predicted that figure could increase to as much as 12 percent by 2028.
US-Tech companies appear to move in the same direction. In recent earnings calls, Google, Microsoft, Amazon, and Meta announced they would spend USD 300 billion on AI infrastructure this year alone.
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