Corporate Governance
Google-Fervo geothermal deal underscores baseload power scarcity, analysts say
Fervo Energy announced on Tuesday a 396 MW geothermal power purchase agreement with Google, the largest geothermal PPA in history, which Google plans to use for a potential data center in Utah. The agreement includes an option to expand by approximately 600 MW, totaling nearly 1 GW. Analysts noted that the deal underscores baseload power scarcity, but Fervo's stock has recently faced pressure due to execution risks.
Fewer than 25% of enterprises have scaled AI successfully
The latest Gartner survey reveals that despite widespread AI adoption efforts, fewer than a quarter (22%) of enterprises have successfully scaled AI across multiple business units. The survey covered over 1,300 leaders from organizations with annual revenue exceeding $50 million. Meanwhile, 85% of technology leaders plan to increase AI investment next year, but about 11% of organizations lack visibility into their 2025 AI spending. Experts warn that without rigorous measurement tied to business outcomes, resources may be wasted and expectations may fall short.
Pado CEO: Retrofitting Legacy Data Centers Could Ease AI-Driven Power Demand
As AI adoption surges, U.S. data center electricity use is projected to double by 2028 and grow 300% over the next decade. Pado AI CEO Wannie Park argues that legacy data centers—typically under 100 MW—hold vast untapped power capacity. In an interview with ESG Dive, he explains how optimizing existing infrastructure, rather than building new facilities, could bridge the gap, citing GPU utilization rates as low as 12% and the need for grid-aware compute management.