Trump's AI Power Play—Executive Orders Aim To Outpace China, Rewire US Grid In Fight For Tech Supremacy: Report

The Donald Trump administration is preparing a set of executive actions to bolster the U.S. artificial intelligence (AI) sector, aiming to outpace China in the global AI race.

What Happened: The administration's proposed actions aim to ease power grid constraints and expedite data center construction, both crucial to supporting AI development, reported Reuters, citing sources familiar with the matter.

The initiatives include facilitating power-generating projects’ connections to the grid and offering federal land for data center construction.

The moves are intended to address the growing electricity demand driven by AI, which is projected to increase U.S. power demand five times faster than anticipated by 2029.

See Also: Marc Benioff Says AI Now Handles Up To 50% Of Work At Salesforce — Could An AI Agent Eventually Take Over His Job?

Power demand from AI data centers could surge over 30-fold by 2035, the report noted, citing Deloitte.

The White House is also set to release an AI action plan, with a nationwide “AI Action Day” slated for July 23 to highlight the report's recommendations.

Why It’s Important: The surging demand for AI is transforming the energy landscape, fueling growth for independent power producers (IPPs) like Constellation Energy Corp. (NASDAQ:CEG), Vistra Corp. (NYSE:VST) and NRG Energy Inc. (NYSE:NRG).

The U.S. Energy Information Administration (EIA) expects electricity use in the country to keep rising through 2025 and 2026, reaching new record levels, mainly due to increased demand from commercial and industrial users like data centers.

ICF International predicts that U.S. electricity needs could jump by 25% by 2030 and soar by 78% by 2050.

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Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

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