With its focus on innovative products and cutting-edge technology, the annual CES has not historically paid much attention to energy companies.
However, there were signs of a shift at this year’s Las Vegas event, as the tech sector begins to confront its substantial energy needs, which are certain to grow as cloud computing and artificial intelligence (AI) advance.
“If you’d asked me to do CES five years ago, I wouldn’t necessarily have seen the point,” said Sebastien Fiedorow, chief executive of the French start-up Aerleum, which manufactures synthetic fuel from carbon dioxide.
Photo: AFP
“But we are in a very different CES than five years ago,” he said, adding that even if energy companies remain “on the fringes” of CES, “we’re here.”
Data centers accounted for 4.4 percent of US electricity needs in 2023, a figure that is likely to rise to 12 percent by 2028, the US Department of Energy said.
Gary Shapiro, chief executive of the Consumer Technology Association, which organizes CES, said energy transition was intended to be “a big focus” of this year’s show.
“It’s something we’ve talked about for a while,” he said, stressing that the tech sector needs “innovative solutions” to ensure it has the power it requires.
Among the companies pitching such innovation at CES, which wrapped up on Friday, was the Dutch firm LV Energy BV, which generates electricity from sound and vibrations.
The company’s general director Satish Jawalapersad said their presence at the show was noteworthy.
“The fact that we’re here with the CES does say something, definitely,” he said.
LV Energy did not mention AI in its presentation, which he said likely suppressed interest, with AI being “the magic word” at CES.
“Maybe we’re not the most sexy ... because we don’t say those words,” he said.
Other energy firms also acknowledged a struggle to break through. DataGreen, another French firm, aims to build smaller, greener data centers that run on renewable energy, saving tech companies money by reducing data storage costs.
Cloud computing giants have so far shown no interest, DataGreen’s AI head Julien Choukroun said.
“For now, they don’t see the point, but we’re trying to convince them,” Choukroun said.
The company won an innovation award at CES this year, its first appearance at the show, and Choukroun said its services are essential.
“We can’t continue to increase the hangar space [of data centers],” he said, stressing the land available “is not infinite.”
He voiced confidence that once Big Tech realizes DataGreen offers cost savings, that would “be more persuasive than the ‘green’” aspect.
Jordan Huyghe, product manager at the French firm Otrera, which designs small nuclear reactors, said a major change in the relationship between tech and the energy sector would require investment from giants such as Amazon.com Inc, Google or Microsoft Corp. Amazon is already the world’s largest purchaser of renewable energy.
In September last year, Microsoft signed a deal with Constellation Energy Corp to reopen the Three Mile Island power plant in Pennsylvania. Energy from the plant would power Microsoft data centers.
Solutions could come from companies big enough to fund them, Huyghe said.
“To move forward on projects like these, you need to raise money,” he said.
HORMUZ ISSUE: The US president said he expected crude prices to drop at the end of the war, which he called a ‘minor excursion’ that could continue ‘for a little while’ The United Arab Emirates (UAE) and Kuwait started reducing oil production, as the near-closure of the crucial Strait of Hormuz ripples through energy markets and affects global supply. Abu Dhabi National Oil Co (ADNOC) is “managing offshore production levels to address storage requirements,” the company said in a statement, without giving details. Kuwait Petroleum Corp said it was lowering production at its oil fields and refineries after “Iranian threats against safe passage of ships through the Strait of Hormuz.” The war in the Middle East has all but closed Hormuz, the narrow waterway linking the Persian Gulf to the open seas,
Apple Inc increased iPhone production in India by about 53 percent last year and now makes a quarter of its marquee devices there, reflecting the US company’s efforts to avoid tariffs on China. The company assembled about 55 million iPhones in India last year, up from 36 million a year earlier, people familiar with the matter said, asking not to be named because the numbers aren’t public. Apple makes about 220 million to 230 million iPhones a year globally, with India’s share of the total increasing rapidly. Apple has accelerated its expansion in the world’s most populous country in recent years, bolstered
HEADWINDS: The company said it expects its computer business, as well as consumer electronics and communications segments to see revenue declines due to seasonality Pegatron Corp (和碩) yesterday said it aims to grow its artificial intelligence (AI) server revenue more than 10-fold this year from last year, driven by orders from neocloud solutions clients and large cloud service providers. The electronics manufacturing service provider said AI server revenue growth would be driven primarily by the Nvidia Corp GB300 server platform. Server shipments are expected to increase each quarter this year, with the second half likely to outperform the first half, it said. The AI server market is expected to broaden this year as more inference applications emerge, which would drive demand for system-on-chip, application-specific integrated circuits
PROJECTION: TSMC said it expects strong growth this year, with revenue in US dollars projected to grow by about 30 percent, outperforming the industry Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) yesterday reported consolidated sales last month reached NT$317.66 billion (US$9.98 billion), the highest ever for the month of February, driven by robust demand for chips built using the company’s advanced 3-nanometer (3nm) process. Last month’s figure was up 22.2 percent from a year earlier, but fell 20.8 percent from January, the world’s largest contract chipmaker said in a statement. For the first two months of the year, TSMC posted cumulative sales of NT$718.91 billion, up 29.9 percent from a year earlier. Analysts attributed the growth to sustained global demand for artificial intelligence (AI) products