Some notes from GSach report- Powering the AI era

 https://www.goldmansachs.com/what-we-do/investment-banking/insights/articles/powering-the-ai-era/report.pdf

• The average cost to build a 250MW AI data center is roughly $12 b inclusive of equipment.
• Needs Capital
• Needs Power
• Compared to railroad. Compared to internet era.
• 
  

Just before AI, cloud computing was the most recent paradigm shift

• Companies like Amazon, Google, Meta, Microsoft hyperscaled - thousand of cloud data centers were built.
• Now outside the traditional hyperscalers new companies are building GPUS and Data Centers. 
• For training. Built in new locations with access to power and cooling
• Stargate initiative $500 billion - a JV between Openai, oracle and Softbank - data center to be built in Texas.

• Inference is not that compute hungry.

Following chart is in billions

The above is a chart from the report. And further, one year down, following is the chart from Open Router,

There has been a magnitude shift in weekly consumption of tokens. Now it is 44,700 billion (from 2318 of above chart)

https://openrouter.ai/rankings

Financing Data Centers - Cloud data centers were like Real Estate. While the new AI data centers have much more expensive equipment. More than the real estate part. They have more startup financial profiles.