PITTSBURGH (AFP) — U.S. President Donald Trump visited Pennsylvania on Tuesday to unveil a massive $92 billion package of energy and infrastructure deals. The investment aims to meet the tech industry’s soaring demand for electricity, particularly to fuel the burgeoning AI sector.
Trump made the announcement at the inaugural Pennsylvania Energy and Innovation Summit, hosted by Carnegie Mellon University. The event largely centered on America’s strategy to outpace China in the global AI race.
\”Today’s commitments ensure that the future will be designed, built, and made right here in Pennsylvania, right here in Pittsburgh, and I must emphasize, right here in the United States of America,\” Trump declared at the event.
While the tech world has wholeheartedly embraced generative AI as the next technological frontier, concerns are mounting about whether current infrastructure can meet its enormous electricity needs, especially in the United States.
Generative AI requires immense computing power, primarily to run the energy-hungry processors from Nvidia Corporation. The California-based chip maker has recently become the world’s most valuable company by market capitalization.
Experts project that by 2028, tech companies will require up to five gigawatts of power for AI operations — enough electricity to power roughly five million homes.
The summit drew top executives from various sectors, including Palantir, Anthropic, Exxon, and Chevron.
The funding package will cover a wide range of initiatives, including new data centers, power generation facilities, grid infrastructure improvements, AI training programs, and apprenticeship schemes.
Among the major investments, Google committed $25 billion to construct AI-ready data centers in Pennsylvania and surrounding regions.
\”We fully support President Trump’s clear and urgent directive for our nation to invest in AI… to ensure America’s continued leadership in this field,\” stated Ruth Porat, Google’s president and chief investment officer.
The tech giant also announced a partnership with Brookfield Asset Management to upgrade two hydropower facilities in Pennsylvania, adding 670 MW of capacity to the regional grid.
Investment powerhouse Blackstone pledged over $25 billion to fund new data centers and energy infrastructure projects.
U.S. Senator David McCormick of Pennsylvania emphasized that these investments are not only crucial for the state but also vital for the nation’s future.
His remarks echo a growing sentiment in Washington that the United States must maintain its edge over China in the AI development race.
\”We’re well ahead of China, and the plants are starting up, construction is getting underway,\” Trump asserted.
In January, the U.S. president launched the ambitious Stargate project, aiming to invest up to $500 billion in U.S. AI infrastructure — a move largely seen as a response to mounting competition with China.
Japanese tech investor SoftBank, ChatGPT creator OpenAI, and Oracle have committed $100 billion to the project’s initial phase.
Trump has also rolled back several policies implemented by the previous Biden administration that imposed restrictions on the development of powerful AI algorithms and limited exports of cutting-edge technology to certain allied nations.
The president is expected to unveil his comprehensive blueprint for AI advancement later this month.
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