Since the beginning of the digital age, most of the world's internet data has flowed through massive data centers in Northern Virginia.
The area is known as "Data Center Alley" because it's home to the world's largest concentration of data centers.
Some call the area 'spy country' because of the number of data centers used by the Central Intelligence Agency and other intelligence agencies.
Given the exponential proliferation of smartphones, streaming services, smart devices, and now generative artificial intelligence, the power demanded by data centers in Northern Virginia will need nuclear reactors worth of power, if not much more, according to utility Dominion Energy.
On Thursday, Chief Executive Officer Bob Blue told investors on a company earnings call that "Economic growth, electrification, and accelerating data center expansion" is boosting power demand across the area.
Blue said, "The data center industry has grown substantially in northern Virginia in recent years," noting, "We've connected 94 data centers with over 4 gigawatts of capacity over the last approximately five years." Blue expects his utility company to connect another 15 data centers to the local power grid this year.
We titled the notes "The Next AI Trade" and "Everyone Is Piling Into The Next AI Trade." Nuclear will be a big part of power generation as it's the only clean and reliable source for data centers, as Blackrock's Larry Fink pointed out last week.
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