The AI Race: Why the U.S. Needs an All-of-the-Above Energy Strategy
On March 21, 2025, Joseph Webster highlighted a critical challenge for the United States in the race to dominate artificial intelligence (AI). The threat is encapsulated in the term ‘Sputnik moment,’ as Chinese firm DeepSeek claims its AI models are approaching parity with those developed in the U.S., offering superior cost efficiency and energy consumption metrics.
Despite skepticism about the accuracy of some claims from DeepSeek, the consensus is that the firm’s accomplishments represent a significant advancement that could reshape the competitive landscape of AI, with serious implications for both economic and military power. To counter this challenge, the U.S. needs to ramp up its electricity generation capacity and transmission infrastructure to sustain AI development.
The Importance of a Comprehensive Energy Strategy
For the U.S. to maintain its leadership in AI, a multi-faceted approach to energy production is essential. This includes harnessing various energy sources while promoting energy efficiency and eliminating bureaucratic obstacles that impede the construction of necessary infrastructure such as transmission lines and grid improvement technologies.
Adopting a limited or ‘some of the above’ strategy could hinder U.S. efforts not only in AI innovation but also in ensuring affordable energy for consumers and businesses, ultimately impacting broader economic goals.
A National Security Imperative
The competition for AI dominance is arguably the preeminent national security issue of our era. While the exact energy demands of AI technology remain uncertain, substantial investments in power infrastructure and improvements in energy efficiency are crucial. Building new energy generation facilities and leveraging advanced technologies can help the U.S. stay ahead in AI development.
Simply put, a constrained energy strategy may leave the U.S. disadvantaged in the most important technological rivalry of the 21st century.
“If the United States adopts a ‘some of the above’ approach to energy, it will be waging a critical technological fight with one hand tied behind its back.” – Joseph Webster
- 0 Comments
- Energy Strategy