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Goldman Sachs AI infrastructure physical constraints chokepoints power grid cooling substation switchgear

AI & Machine Learning

15 May 2026

The Physical Constraints Goldman Sachs Says Will Determine Who Wins the AI Era

The investment narrative around AI has been constructed almost entirely around software and silicon. The companies that design the best.

AI infrastructure economics now revolve around something far more physical, scarce, and geographically concentrated

Data center site selection used to start with a relatively short checklist. Grid capacity.

AI growth doesn’t usually look like smokestacks or giant factory campuses. Most of it

The location playbook that governed data center site selection through 2022 relied on four

India’s digital infrastructure surge is reshaping the strategic direction of companies once viewed strictly

Google’s Virgo Network, introduced at Google Cloud Next 2026, is a megascale AI data

Electricity has moved from operational necessity to strategic leverage inside modern AI infrastructure. Training

The Trump administration’s executive order streamlines federal Clean Air Act permitting and environmental review

The artificial intelligence boom changed the public conversation around technology, yet most attention still

Electricity networks were originally designed to support economies built around manufacturing growth, urban expansion,

The conversation about global AI infrastructure investment tends to focus on the billions being

The next phase of artificial intelligence expansion may not emerge from semiconductor fabs in

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