Source: Semianalysis
AI infrastructure operators are rapidly building private power generation and storage behind their own meters rather than relying on already-strained regional grids, with projections suggesting 40GW+ of capacity could be self-hosted by 2028. This fragments energy infrastructure and creates a structural decoupling where hyperscalers effectively become their own utilities, controlling generation, distribution, and consumption without grid arbitrage or oversight. The shift creates clear winners and losers. Companies with capital for solar, nuclear, and battery clusters gain energy independence. Utilities and regions lose datacenter tax revenue and grid stability contributions. It also exposes how quickly supply-constrained infrastructure becomes privatized when the public system can't adapt—a template that may apply to other critical systems when centralized capacity fails to scale.