### OpenAI Pushes for Massive Data Centers to Counter China and Bolster US AI Capabilities

OpenAI is urging the White House to approve an ambitious plan that would establish 5-gigawatt AI data centers in various US cities, according to a Bloomberg report. After a recent meeting with the Biden administration, where discussions about AI infrastructure needs took place, OpenAI's CEO, Sam Altman, pitched this extensive project. A document reviewed by Bloomberg reveals that each proposed data center's power requirement is comparable to five nuclear reactors and could exceed the energy consumption of a city or approximately 3 million homes.

OpenAI argues that these massive data centers are crucial for enhancing AI capabilities within the US, protecting national security, and effectively competing with China. The company promises that, if the project is approved, it would generate thousands of jobs and solidify the US's position as a global leader in AI. However, the monumental energy needs necessitate supportive policies to expand data center capacity, or the US risks falling behind other nations in AI development, according to the same document.

Energy industry executives have voiced concerns regarding the feasibility of such large-scale projects. John Ketchum, CEO of NextEra Energy Inc, mentioned that powering even one 5-gigawatt data center poses a significant challenge. He suggested that these facilities would likely depend on a combination of wind and solar farms, battery storage, and grid connections. Joe Dominguez, CEO of Constellation Energy Corp., expressed skepticism about OpenAI’s plan to build five to seven data centers, questioning the practicality given expected delays and existing challenges.

OpenAI appears to be focusing initially on launching a single data center before scaling up to multiple locations across the US. This phased approach might help navigate potential obstacles and secure early wins. Recently, OpenAI’s chief investor, Microsoft, secured a 20-year deal with Constellation to reopen Pennsylvania's Three Mile Island nuclear plant, aiming to power future data centers. Despite this, the plant's projected 835 megawatts of energy falls significantly short of OpenAI’s 5-gigawatt requirement.

The challenge of finding suitable sites for such large data centers remains considerable, with Ketchum noting that securing a location for a 1-gigawatt center is much easier than for a 5-gigawatt one. Interestingly, Amazon recently acquired a $650 million nuclear-powered data center in Pennsylvania with a 2.5-gigawatt capacity, highlighting the industry's growing interest in nuclear energy solutions.

At the Biden administration meeting, OpenAI suggested potential locations for their large-scale data centers, including Wisconsin, California, Texas, and Pennsylvania. The administration emphasized the importance of developing such infrastructure, announcing a new Task Force on AI Datacenter Infrastructure to coordinate policies across government sectors. OpenAI's efforts seem aimed at capturing the task force's attention early on, emphasizing the national security and economic benefits these data centers could bring to the US.

In a statement to Bloomberg, an OpenAI spokesperson reinforced the company's commitment to strengthening AI infrastructure in the US. The spokesperson highlighted the importance of maintaining America's leading role in global innovation, fostering reindustrialization, and making AI benefits accessible nationwide.

With a projected 160 percent increase in data center power demand by 2030, according to Goldman Sachs, Big Tech companies and AI startups are likely to continue pressing for the approval of data center expansions and new kinds of nuclear reactors. In an innovative move, Microsoft's AI has even been drafting the necessary documents for securing government approvals for these critical projects.