AI Power Race Bottleneck
Tewn MacLean@tewnmaclean
−10.3%
since Oct 9
The idea
I think AI's real bottleneck isn't chips, it's getting power to data centers fast enough, especially with local pushback over noise and water use. This basket leans into whoever can deliver power quickly and quietly: on-site generators and fuel cells, the grid gear and crews everyone's waiting on, water-light cooling systems, and existing nuclear plants that can feed data centers without new smokestacks.
What it owns
- Data centres unable to wait years for grid connections are installing generators, fuel cells and batteries that power up in months. · GE VernovaIt makes gas turbines and grid equipment that data centres are ordering with backlogs extending years out., Bloom EnergyIts fuel cells run on site within months instead of years on a grid waitlist and operate quietly with no smokestack emissions., CaterpillarIt sells generators and gas turbines letting data centres produce their own power instead of waiting for grid connections., CumminsIt builds backup and full-time generators that data centres install on site for reliable power supply., Fluence EnergyIt sells large grid batteries, one of the fastest ways to add usable power at a data centre or on a strained grid., GeneracIt is expanding from home generators into large units for data centres that cannot wait for grid power.31%
- New data centres need transformers, switchgear and power lines wherever they locate, creating long waitlists for makers and builders. · EatonIt makes transformers, switchgear and power distribution equipment inside data centres and substations, products with long lead times., Quanta ServicesIt is the largest contractor building power lines and substations that connect new data centres to the grid., HubbellIt makes components utilities install during grid upgrades to handle new data centre demand., Powell IndustriesIt builds custom switchgear that routes power at data centre sites and faces extended delivery times., MYR GroupIt supplies skilled crews building transmission and distribution lines, addressing the shortage of trained workers needed for grid expansion.26%
- Data centre projects face pushback on noise and water use, so cooling systems that cut both enable faster approvals and construction. · VertivIt sells liquid cooling systems for data centres that use far less water than conventional setups, addressing local water concerns., nVent ElectricIt makes liquid cooling racks and electrical enclosures for dense AI servers, reducing water use and fitting more capacity into available power., Trane TechnologiesIt makes efficient chillers and cooling systems for large buildings including data centres, providing steady demand., Modine ManufacturingIt sells chillers and cooling systems built for data centres, a direct play on cooling more servers with less water and noise.22%
- Operating nuclear plants can supply adjacent data centres around the clock with no new emissions, sidestepping local quality-of-life objections. · Constellation EnergyIt operates the largest nuclear fleet in the US, providing round-the-clock power to data centres with zero new emissions., Talen EnergyIt owns nuclear and gas plants positioned to power data centres built adjacent to them, eliminating years of grid connection delays.11%
- Cash10%