07/31/2026
Everyone is talking about AI.
Not as many people are talking about WHAT it runs on.
AI runs on electricity. WAYYY more of it than most people realize.
Eric Schmidt, Google's former CEO, told Congress the country needs 92 gigawatts of new power to keep up. The average nuclear plant makes about 1.5. That is roughly 60 new nuclear plants.
So the big tech companies are building like crazy. Amazon, Google, Meta and Microsoft are spending about $725 billion this year, more than FOUR times what they spent before ChatGPT came out.
Which is why energy, utilities, and industrials have my attention.
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Sources: Schmidt testimony, U.S. House Energy and Commerce, 4/9/25 (docs.house.gov). Q2 2026 company guidance via CNBC, 2022 baseline via Visual Capitalist. Virginia Mercury and PJM interconnection queue (pjm.com). Rio Tinto SEC Form 8-K, 1/15/26 (sec.gov). Analyst estimates, Reuters via Yahoo Finance.