Global electricity consumption by data centers could exceed 1,000 terawatt-hours in 2026, a level roughly equivalent to the total electricity use of Japan, according to International Energy Agency analysis. The figure marks a steep climb from recent baselines and underscores the energy intensity of the computing buildout.

The trajectory has been rapid. Data centers accounted for about 1.5 percent of the world's electricity consumption in 2024, or 415 terawatt-hours. Global data center electricity demand then grew 17 percent in 2025, in line with IEA projections, as cloud computing and AI workloads expanded.

Artificial intelligence is the primary driver. Electricity consumption from AI-focused data centers grew even faster, surging 50 percent in 2025, because AI training and inference require dense, continuously running hardware. That density separates AI facilities from traditional data centers in their demand on local grids.

Longer-term projections extend the trend. The IEA expects data center electricity consumption to more than double to around 945 terawatt-hours by 2030, with AI the most important factor alongside growing demand for other digital services. The scale of the projected growth has prompted utilities, regulators, and technology companies to examine new generation sources, including advanced nuclear, to meet the load. The data frames a sector whose power appetite is expanding faster than most national electricity systems, concentrating new demand in the regions where large facilities cluster.

Source: International Energy Agency - https://www.iea.org/reports/energy-and-ai/executive-summary