The Heritage Foundation senior economist Peter St. Onge discusses Sen. Bernie Sanders’, I-Vt., proposal for a moratorium on new AI data centers and critiques Sanders’ stance as a \u2018power grab\u2019 on \u2018The Bottom Line.\u2019<\/p>\n
PROGRAMMING ALERT: Jackie DeAngelis hosts a special one-hour program:\u00a0“Fox Business In Depth: \u00a0Reenergizing America<\/a>” on February 18 at 8\u202fPM\u202fET\/5\u202fPM\u202fPT. Jackie and a panel of experts, newsmakers, and FBN correspondents break down the progress and headwinds in securing America\u2019s energy future.\u00a0\u00a0<\/p>\n We are on the precipice of the greatest economic and technological transformation in human history: the AI revolution<\/a>. This race will not be won without critical minerals, metals and energy dominance \u2014 and U.S. energy will be key to winning the race for the future.<\/p>\n In fact, history shows us that the time is now. This is the challenge of our age. When we look back at the Industrial Revolution, one of the most important commodities was energy<\/a> \u2014 coal and oil. Today, you could almost argue that critical minerals such as copper may be just as important to the future of the economy as oil and gas. They are deeply intertwined, but ultimately it comes down to electricity \u2014 and an all-hands-on-deck U.S. energy strategy to produce it.<\/p>\n For the first time in human history, we can convert electricity into intelligence. As Interior Secretary Doug Burgum<\/a> has noted, this shift makes the AI race the “Manhattan Project of our time” \u2014 a defining contest for national security, economic power and military advantage.<\/p>\n Whoever dominates AI will shape the future, and the U.S. must lead \u2014 not just in innovation, but in the raw materials that power it.<\/p>\n ARTIFICIAL INTELLIGENCE: FREQUENTLY ASKED QUESTIONS ABOUT AI<\/a><\/p>\n Electricity is the lifeblood of AI, and U.S. energy is essential to meet the massive computational demands required to train AI models, process data and perform trillions of calculations per second. Training a single large language model can require thousands of GPUs operating for months, with cooling systems alone consuming up to 40% of the electricity. Without reliable, abundant power, AI progress would halt, and our adversaries would gain an advantage.<\/p>\n Fox News anchor Bret Baier explores how the technology is changing how the world operates on ‘Special Report.’<\/p>\n Oil plays a key indirect role in supporting AI through the global energy system. While renewables expand, oil \u2014 and especially natural gas \u2014 deliver reliable baseload electricity to prevent blackouts that AI data centers cannot tolerate.<\/p>\n Companies like ExxonMobil supply natural gas for on-site power plants, sometimes with carbon capture. Petrochemicals derived from oil are also vital for hardware components such as server plastics and cables. In a symbiotic twist, AI optimizes oil exploration and recovery, potentially unlocking vast additional reserves \u2014 even as oil fuels AI\u2019s growing energy demand.<\/p>\n AI\u2019s electricity demands are surging due to rapid data center growth. Global data centers consumed around 415 terawatt-hours in 2024 \u2014 about 1.5% of worldwide electricity \u2014 and projections show that figure could double to roughly 945 terawatt-hours by 2030 in base-case scenarios from the International Energy Agency, driven primarily by AI. Some estimates range from 1,000 to 1,600 terawatt-hours globally.<\/p>\n DATA CENTER BOOM POWERING AI REVOLUTION MAY DRAIN US GRIDS \u2014 AND WALLETS<\/a><\/p>\n In the U.S., data centers used about 4.4% of electricity in 2023 and could rise to between 6.7% and 12% by 2028. Power demand could reach 106 gigawatts by 2035, up sharply from prior forecasts. To lead in AI requires flexible grids, aggressive renewable scaling and hybrid fossil fuel solutions such as natural gas to fill gaps, though efficiency gains may temper long-term peaks.<\/p>\n FOX Business contributor Phil Flynn analyzes President Donald Trump’s plan to rebuild Venezuela’s oil industry after Maduro’s capture on ‘The Bottom Line.’<\/p>\n History proves that game-changing innovations do more than boost productivity \u2014 they rewrite the rules of wealth creation. The Industrial Revolution unleashed mechanized production, urbanization and global trade, creating unprecedented prosperity. The Internet Revolution democratized information and commerce, birthing trillion-dollar tech giants and connecting billions.<\/p>\n AI OUT OF CONTROL? HOW A SINGLE ARTICLE IS SENDING SHOCK WAVES WITH AN APOCALYPTIC WARNING<\/a><\/p>\n Now AI stands to push us further \u2014 boldly into uncharted territory. Big Tech is already pouring massive resources into it. In February 2026, Amazon announced plans to spend $200 billion on AI infrastructure<\/a>, chips and robotics. Overall, major players are on track to invest around $650 billion in AI-related data centers, advanced chips and the energy backbone needed to power them in 2026 alone.<\/p>\n This surge is not just about economic growth \u2014 it is existential for U.S. military capability<\/a> and national security. We must maintain our edge in AI to protect life, liberty, property and the pursuit of happiness.<\/p>\n GET FOX BUSINESS ON THE GO BY CLICKING HERE<\/a><\/p>\n Failure means adversaries like China could turn the technology against us, much as the space race defined the 1960s. President John F. Kennedy\u2019s call to go to the moon<\/a> \u2014 “not because it is easy, but because it is hard” \u2014 echoes today. We choose this challenge because the stakes demand that we win.<\/p>\n Vertiv CEO Giordano Albertazzi discusses A.I. spending focused on data centers and the economic growth of Vertiv Holdings LLC on \u2018The Claman Countdown.\u2019<\/p>\n China has spent decades building an iron grip on critical minerals. It controls an estimated 60% to 70% of global rare earth mining, 90% to 94% of refining and processing, and about 93% of permanent magnets essential for AI, defense technology and advanced systems. Rare earths are not truly rare \u2014 but securing and mining them is difficult. As the pandemic showed, when one nation dominates the supply chain, it can weaponize it.<\/p>\n The Trump administration is acting decisively with a clear blueprint to rebuild America\u2019s supply chains. Project Vault, a landmark initiative, creates a strategic reserve for critical minerals \u2014 akin to the Strategic Petroleum Reserve<\/a>, but for the materials powering AI and defense. Backed by a record $10 billion loan from the U.S. Export-Import Bank and nearly $1.67 billion in private investment, the nearly $12 billion effort aims to shield manufacturers from supply shocks, ramp up domestic production and fuel the next great leap forward.<\/p>\n READ MORE FROM FOX BUSINESS<\/a><\/p>\n Controlling these minerals is not optional \u2014 it is essential to staying ahead economically and ensuring national security for Americans. Whoever dominates this space can wield it for good or ill. With our values of free markets, ingenuity and individual liberty, the United States is uniquely positioned to succeed.<\/p>\n Qualcomm CEO Cristiano Amon joins \u2018Mornings with Maria\u2019 to discuss the next phase of the AI boom that’s expanding beyond data centers into cars, devices and robotics.<\/p>\n For traders and investors, the implications are already playing out. Record highs in metals such as silver, gold, copper, platinum and palladium reflect the market\u2019s recognition of this shift. Breakthroughs in pharmaceuticals, consumer products and other sectors will accelerate at unprecedented speed \u2014 because now intelligence is not just human; it is powered by the minerals and energy we secure today.<\/p>\n This is more than a commodities story<\/a> \u2014 it is the foundation of America\u2019s destiny in the AI era. The time to act is now.<\/p>\n Phil Flynn joined FOX Business Network (FBN) in 2008 as a contributor and currently provides market analysis specializing in the energy sector\u00a0across the network and FOXBusiness.com.\u00a0He is based in Chicago where he frequently reports live from\u00a0FBN\u2019s Chicago bureau at the Chicago Mercantile Exchange (CME).\u00a0Click here to read more<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"The Heritage Foundation senior economist Peter St. Onge discusses Sen. 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