Trade War Could Slow Down the AI Boom

Growth in the AI data center sector could slow due to a global trade war and heightened macroeconomic uncertainties, according to the International Energy Agency (IEA). In a Thursday report on AI and its expected impact on global electricity demand, the agency modeled a so-called Headwinds Case, which forecasts slower AI adoption in case bottlenecks, including macroeconomic headwinds, emerge and persist. The Headwinds Case captures the impact of a downside in the outlook for data center deployment, particularly due to slower than expected AI adoption.…