At the Davos Forum, Microsoft CEO Satya Nadella highlighted that energy costs stand as a pivotal factor in determining the winner of the AI race. He pointed out that regional GDP growth will be directly correlated with the energy costs associated with utilizing AI. Nadella underscored the significance of the total cost of ownership (TCO) concept when it comes to employing AI.

Microsoft has earmarked a staggering 80 billion US dollars for investment this fiscal year in the construction of AI data centers. Half of these funds are allocated for regions beyond the United States. Nadella issued a cautionary note, stating that if AI ends up consuming vast quantities of scarce energy without yielding tangible social benefits, it will face a loss of public backing.

Furthermore, Nadella shared his insights on the European economy. He believes that in the era of AI, Europe must adopt a more robust global outlook and invest in energy systems as well as AI capabilities. Only by ensuring that its products are globally competitive can Europe truly solidify its position.