Alabama Just Took Equity in a Retail Underdog

The Univ. of Alabama Athletics program is backing a tiny Nasdaq company-one that's rewriting the playbook. The last retail underdog to move like this? Fanatics and their $31B valuation.

Big Tech's energy-hungry data centers could be bumped off grids during power emergencies

MARC LEVY
September 13, 2025

HARRISBURG, Pa. (AP) -- With the explosive growth of Big Tech's data centers threatening to overload U.S. electricity grids, policymakers are taking a hard look at a tough-love solution: bumping the energy-hungry data centers off grids during power emergencies.

Texas moved first, as state lawmakers try to protect residents in the data-center hotspot from another deadly blackout, like the winter storm in 2021 when dozens died.

Now the concept is emerging in the 13-state mid-Atlantic grid and elsewhere as massive data centers are coming online faster than power plants can be built and connected to grids. That has elicited pushback from data centers and Big Tech, for whom a steady power supply is vital.

Like many other states, Texas wants to attract data centers as an economic boon, but it faces the challenge of meeting the huge volumes of electricity the centers demand. Lawmakers there passed a bill in June that, among other things, orders up standards for power emergencies when utilities must disconnect big electric users.

That, in theory, would save enough electricity to avoid a broad blackout on the handful of days during the year when it is hottest or coldest and power consumption pushes grids to their limits or beyond.

Texas was first, but it won't be the last, analysts say, now that the late 2022 debut of OpenAI's ChatGPT ignited worldwide demand for chatbots and other generative AI products that typically require large amounts of computing power to train and operate.

"We're going to see that kind of thing pop up everywhere," said Michael Weber, a University of Texas engineering professor who specializes in energy. "Data center flexibility will be expected, required, encouraged, mandated, whatever it is."

Data centers are threatening grids

That's because grids can't keep up with the fast-growing number of data center projects unfolding in Texas and perhaps 20 other states as the U.S. competes in a race against China for artificial intelligence superiority.

Grid operators in Texas, the Great Plains states and the mid-Atlantic region have produced eye-popping projections showing that electricity demand in the coming years will spike, largely due to data centers.

A proposal similar to Texas' has emerged from the nation's biggest grid operator, PJM Interconnection, which runs the mid-Atlantic grid that serves 65 million people and data-center hotspots in Virginia, Ohio and Pennsylvania.

The CEO of the Southwest Power Pool, which operates the grid that serves 18 million people primarily in Kansas, Oklahoma and other Great Plains states, said it has no choice but to expand power-reduction programs -- likely for the biggest power users -- to meet growing demand.

The proposals are cropping up at a time when electricity bills nationally are rising fast -- twice the rate of inflation, according to federal data -- and growing evidence suggests that the bills of some regular Americans are rising to subsidize the gargantuan energy needs of Big Tech.

Analysts say power plant construction cannot keep up with the growth of data center demand, and that something must change.

"Data center load has the potential to overwhelm the grid, and I think it is on its way to doing that," said Joe Bowring, who heads Monitoring Analytics, the independent market watchdog in the mid-Atlantic grid.

Data centers might have to adjust

Big Tech is trying to make their data centers more energy efficient. They are also installing backup generators, typically fueled by diesel, to ensure an uninterrupted power supply if there's a power outage.

Data center operators, however, say they hadn't anticipated needing that backup power supply to help grid operators meet demand and are closely watching how utility regulators in Texas write the regulations.

The Data Center Coalition, which represents Big Tech companies and data center developers, wants the standards to be flexible, since some data centers may not be able to switch to backup power as easily or as quickly as others.

The grid operator also should balance that system with financial rewards for data centers that voluntarily shut down during emergencies, said Dan Diorio of the Data Center Coalition.

Nation's largest grid operator has a proposal

PJM's just-released proposal revolves around a concept in which proposed data centers may not be guaranteed to receive electricity during a power emergency.

That's caused a stir among power plant owners and the tech industry.

Many questioned PJM's legal authority to enforce it or warned of destabilizing energy markets and states scaring off investors and developers with uncertainty and risk.

"This is particularly concerning given that states within PJM's footprint actively compete with other U.S. regions for data center and digital infrastructure investment," the Digital Power Network, a group of Bitcoin miners and data center developers, said in written comments to PJM.

The governors of Pennsylvania, New Jersey, Illinois and Maryland said they worried that it's too unpredictable to provide a permanent solution and that it should at least be accompanied by incentives for data centers to build new power sources and voluntarily reduce electricity use.

Others, including consumer advocates, warned that it won't lower electric bills and that PJM should instead pursue a "bring your own generation" requirement for data centers to, in essence, build their own power source.

A deal is shrouded in secrecy

In Indiana, Google took a voluntary route.

Last month, the electric utility, Indiana & Michigan Power, and the tech giant filed a power-supply contract with Indiana regulators for a proposed $2 billion data center planned in Fort Wayne in which Google agreed to reduce electricity use there when the grid is stressed. The data center would, it said, reduce electricity use by delaying non-urgent tasks to when the electric grid is under less stress.

However, important details are being kept from the public and Ben Inskeep of the Citizens Action Coalition, a consumer advocacy group, said that leaves it unclear how valuable the arrangement really is, if at all.

A new way of thinking about electricity

To an extent, bumping big users off the grid during high-demand periods presents a new approach to electricity.

It could save money for regular ratepayers, since power is most expensive during peak usage periods.

Abe Silverman, an energy researcher at Johns Hopkins University, said that data centers can and do use all the electricity they want on most days.

But taking data centers off the grid for those handful of hours during the most extreme heat or cold would mean not having to spend billions of dollars to build a bunch of power plants, he said.

"And the question is, is that worth it? Is it worth it for society to build those 10 new power plants just to serve the data centers for five hours a year?" Silverman said. "Or is there a better way to do it?"

___

Follow Marc Levy on X at: https://x.com/timelywriter

Continue Reading...

Popular

FBI Director Kash Patel Bought 2 Stocks In 2025 — One's Already A Meme Favorite

FBI Director Kash Patel was asked about two stocks he bought earlier this year by a member of Congress on Wednesday and gave a surprising answer. The transactions come as members of Congress are working on legislation to ban lawmakers and cabinet members from buying and selling stocks.

Jim Cramer Recommends Buying This Industrial Stock, Calling It 'Way Too Cheap'

"Mad Money" star Jim Cramer discusses MP Materials, Resideo Technologies and Canadian National Railway on Friday, Sept. 12.

The Hidden Silver Stock With $264 Million in Quarterly Revenue - Ad

A founder who built First Quantum Minerals now leads this producer. Four mines, rising output, and no hedges. His conviction is baked into every ounce.

More than 60 containers fall off ship in Long Beach port

LOS ANGELES (AP) — More than 60 containers toppled off a cargo ship Tuesday morning in the Port of Long Beach, tumbling overboard and floating in the water.

Silver Just Hit $41 and This Stock Is Still Under $10 - Ad

Thousands of silver explorers exist. Only a handful actually produce. One producer with 30M+ ounces a year is still under $10. Scarcity drives opportunity.

What to know about the fatal shooting of Charlie Kirk, the co-founder of Turning Point USA

, the CEO and co-founder of the conservative youth organization Turning Point USA, was Wednesday at an event at a Utah college.

FBI Finds John Bolton's Personal Email Was Breached By Foreign Entity

The personal email account of former National Security Adviser John Bolton was reportedly compromised by a foreign entity.

Silver Demand Surges While This $9 Producer Stays Overlooked - Ad

Silver just broke above $41, but one producer with 4 mines and $264M quarterly revenue still trades under $10. Few names in silver are this mispriced.

Jim Cramer Expects Palantir To Reach New All-Time High

Market analysts and financial commentators provide crucial guidance in the volatile investment landscape. Cramer says no to VKTX, but expects PLTR to go up.

Fanatics Hit $31B. This Nasdaq Company Is Building the Next Wave - Ad

Fanatics built a merch empire by owning the fan experience. But a $50M Nasdaq disruptor is updating their strategy for the social media generation. and they just locked in a game-changing college deal. Could this be retail's next big run?

ASML Invests Billions In Nvidia-Backed Mistral AI To Power Next Era Of Semiconductors

ASML partners with Mistral AI to enhance semiconductor manufacturing with AI, investing 1.3 billion euros for 11% stake.

The Silver Producer Still Under $10 - Ad

This producer runs the only High-Intensity Grinding mill in silver. Recovery rates hit 94%, boosting margins while gold adds torque at $3,600/oz.

Kevin O'Leary Once Admitted He Wasn't The Best Dad — But The Shark Gave Himself A '10 Out Of 10' Score In One Key Area

Kevin O'Leary admitted he wasn't always present as a father but said financial stability made him a "10 out of 10" provider, sharing how tough-love lessons with his son and sacrifices echoed by Barack Obama and Mark Cuban highlight the trade-offs between family and success.

Shortage of homebuyers forces many sellers to lower prices or walk away as sales slump drags on

LOS ANGELES (AP) — Skyrocketing housing values and a shortage of homes on the market gave homeowners the upper hand for years when it came time to sell. That’s no longer a given.

Discover 3 Stocks Projected to Dethrone Nvidia (NVDA) - Ad

Futurist and Stock Analyst, Eric Fry, published a brand-new research report naming three outsider stocks have the power to completely disrupt the "seemingly invincible" Mag 7. For the time being, this research report is available through this page - at no charge.

Someone could win $1.8B Powerball jackpot Saturday. Odds are their identity will remain a mystery

After Iowa gas station employee Timothy Schultz won a $29 million lottery jackpot in 1999, he decided to hold a press conference. Lottery officials told him it would help him avoid being “hounded by media" since state law required his name to be disclosed anyway.

TikTok + Touchdowns = Momentum - Ad

NIL deals and social media clout are now driving merch sales into the billions. One Nasdaq disruptor is first to align with a football dynasty and a commerce giant.

CBS News' new ombudsman has background and duties that differ from the job's traditional definition

NEW YORK (AP) — CBS News has a new ombudsman assigned to look into public complaints, but the job being assumed by Kenneth Weinstein bears little resemblance to how this watchdog role has traditionally operated in journalism.

Silver Producers Explode When Prices Run. This One Is Potentially Next - Ad

At Los Gatos, silver grades run over 200 g/t with costs near $15/oz. With silver at $41, margins are expanding fast.

Bitcoin Stalls Near $116,000 (Again): What Is Going On?

Bitcoin (CRYPTO: BTC) is cooling near $116,000 after its post-FOMC rally, with traders closely watching liquidity levels to gauge the next move.

Could You Use Some Instant Cash Upfront? - Ad

Millionaire trader Jeff Clark's #1 income strategy gives you the chance to collect instant cash payouts, as much as $100 to $1,000 upfront! The great part is you can collect these upfront cash payouts without owning a single stock.... Jeff's put all the details in a special briefing titled Infinite Income Manifesto.

Lam Research And JSR Resolve Legal Disputes As They Team Up On AI Era Chips

Lam Research and JSR Corp agreed to collaborate and cross-license, combining their expertise to accelerate semiconductor manufacturing and reduce costs.

Alabama Just Took Equity in a Retail Underdog - Ad

The Univ. of Alabama Athletics program is backing a tiny Nasdaq company-one that's rewriting the playbook. The last retail underdog to move like this? Fanatics and their $31B valuation.

The Hidden Silver Stock With $264 Million in Quarterly Revenue - Ad

A founder who built First Quantum Minerals now leads this producer. Four mines, rising output, and no hedges. His conviction is baked into every ounce.

Charlie Kirk Raised $85 Million Last Year — Widow Vows to Continue His Work

The assassination of Turning Point USA founder Charlie Kirk at a Utah Valley University event on September 10 has cast a shadow of uncertainty over the future of his political and business ventures.

It's 'do or die' for electric vehicle maker Rivian as it breaks ground on a $5 billion plant

ATLANTA (AP) — It seems like a terrible time to build an electric vehicle plant in the United States, but Rivian Automotive leaders say they're confident as the company starts on a $5 billion facility in Georgia.

Silver Just Hit $41 and This Stock Is Still Under $10 - Ad

Thousands of silver explorers exist. Only a handful actually produce. One producer with 30M+ ounces a year is still under $10. Scarcity drives opportunity.

SciSparc Stock Shoots Up Over 89% After Hours: What's Going On?

SciSparc's stock surged 89.13% to $3.48 after-hours on news of a court-granted stay in its merger with AutoMax, though the stock remains down 71.87% over the past year.

Skye Bioscience Advances Position In Competitive Obesity Market With Promising Data

Skye Bioscience's latest data show nimacimab boosted tirzepatide's weight loss effects and reduced obesity treatment rebound risk.

Silver Demand Surges While This $9 Producer Stays Overlooked - Ad

Silver just broke above $41, but one producer with 4 mines and $264M quarterly revenue still trades under $10. Few names in silver are this mispriced.

Musk's SpaceX spends $17 billion to acquire spectrum licenses from EchoStar

Elon Musk’s SpaceX has reached a deal worth about $17 billion with EchoStar for spectrum licenses that it will use to beef up its Starlink satellite network.

Trending Now

Information, charts or examples are for illustration and educational purposes only and not for individualized investment management This message contains commercial elements, such as advertising. We only send these offers to those who have opted in to our newsletter. Past performance is not indicative of future results. For these reasons we strongly suggest trading in a DEMO/Simulated account. The information provided by us is for educational and informational purposes only. We make no representations or warranties concerning the products, practices or procedures of any company or entity mentioned or recommended and have not determined if the statements and opinions of the advertiser are accurate, correct or truthful. If you use, act upon or make decisions in reliance on information contained or any external source linked within it, you do so at your own peril and agree to hold us, our officers, directors, shareholders, affiliates and agents without fault.

Copyright smartmoneytrading.net
Privacy Policy | Terms of Service