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Google to Curb AI Data Center Power Use

Marco Sorenson by Marco Sorenson
August 4, 2025
in Business
Google to Curb AI Data Center Power Use

Google has entered agreements with two U.S. utilities to decrease its AI data center power usage during peak demand hours for the purpose of reducing stress on the national power grid. Google has entered its first utility demand-response programs for AI operations through its agreements with Indiana Michigan Power and the Tennessee Valley Authority.
Google will reduce its machine learning operations according to utility requests during peak demand times to maintain power availability for other customers and prevent power outages. The utility programs which serve heavy industry sectors now begin to appear in AI data centers that need substantial energy resources.
Google claims the agreements will speed up the process of integrating large facilities into the grid and decrease the requirement for new infrastructure while enhancing power management efficiency.
The rapid growth of AI adoption has created an unprecedented power consumption challenge for tech giants which sometimes exceeds the available local power generation capacity. The commercial details of Google’s agreements with the utilities remain undisclosed to the public.

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