Hello and welcome to the details of Trump pledges US$92b to power AI boom in Pennsylvania, vows to outpace China and now with the details
Nevin Al Sukari - Sana'a - US President Donald Trump (L), flanked by US Secretary of Commerce Howard Lutnick, speaking to reporters upon arrival at Joint Base Andrews, Maryland. — AFP pic
PITTSBURGH, July 16 — US President Donald Trump went to Pennsylvania on yesterday to announce US$92 billion in energy and infrastructure deals intended to meet big tech’s soaring demand for electricity to fuel the AI boom.
Trump made the announcement at the inaugural Pennsylvania Energy and Innovation Summit at Carnegie Mellon University, with much of the talk about beating China in the global AI race.
“Today’s commitments are ensuring that the future is going to be designed, built and made right here in Pennsylvania and right here in Pittsburgh, and I have to say, right here in the United States of America,” Trump said at the event.
The tech world has fully embraced generative AI as the next wave of technology, but fears are growing that its massive electricity needs cannot be met by current infrastructure, particularly in the United States.
Generative AI requires enormous computing power, mainly to run the energy-hungry processors from Nvidia, the California-based company that has become the world’s most valuable company by market capitalization.
Officials expect that by 2028, tech companies will need as much as five gigawatts of power for AI—enough electricity to power roughly five million homes.
Top executives from Palantir, Anthropic, Exxon and Chevron attended the event.
The funding will cover new data centers, power generation, grid infrastructure, AI training, and apprenticeship programs.
Race to beat China
Among investments, Google committed US$25 billion to build AI-ready data centers in Pennsylvania and surrounding regions.
“We support President Trump’s clear and urgent direction that our nation invest in AI... so that America can continue to lead in AI,” said Ruth Porat, Google’s president and chief investment officer.
The search engine giant also announced a partnership with Brookfield Asset Management to modernize two hydropower facilities in Pennsylvania, representing 670 MW of capacity on the regional grid.
Investment group Blackstone pledged more than US$25 billion to fund new data centers and energy infrastructure.
US Senator David McCormick, from Pennsylvania, said the investments “are of enormous consequence to Pennsylvania, but they are also crucial to the future of the nation.” His comments reflect the growing sentiment in Washington that the United States must not lose ground to China in the race to develop AI.
“We are way ahead of China and the plants are starting up, the construction is starting up,” Trump said.
The US president launched the “Stargate” project in January, aimed at investing up to US$500 billion in US AI infrastructure—primarily in response to growing competition with China.
Japanese tech investor SoftBank, ChatGPT-maker OpenAI, and Oracle are investing US$100 billion in the initial phase.
Trump has also reversed many policies adopted by the previous Biden administration that imposed checks on developing powerful AI algorithms and limits on exports of advanced technology to certain allied countries.
He is expected to outline his own blueprint for AI advancement later this month. — AFP
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