Data Center Bytes

As AI continues to reshape computing demands, the equipment and infrastructure supporting data centers are evolving. From traditional servers to accelerator-equipped systems and integrated computing configurations, these developments introduce new operational and contractual considerations for data center operators, customers, and service providers.

As investment in digital infrastructure accelerates, access to skilled construction labor is emerging as another critical consideration for data center owners, developers, and investors. Data centers—and the power generation, transmission, substations, and other infrastructure that support them—are competing with other major projects for many of the same skilled workers.

The rapid expansion of artificial intelligence and data center infrastructure has reached a notable milestone in the United States: investment in information-processing equipment, including data centers and computer hardware, has now surpassed residential investment.

In the latest episode of Mike Huneke’s Red Flags Rising podcast, Mike and his co-host Brent Carlson interviewed Loyaan Egal regarding important trends in the US Federal Communications Commission’s (FCC’s) use of its “covered list” authorities and what companies should do to anticipate and prepare for future listings and eventual FCC enforcement.

AI, cloud computing, and digital transformation continue to drive unprecedented demand for data center capacity, positioning the sector as one of the most significant infrastructure investment opportunities of the decade. As capital requirements continue to grow, sovereign wealth funds (SWFs) and other institutional investors are contributing to the perception of data centers as strategic infrastructure with long-term economic importance, particularly, but not exclusively, in energy-producing countries.

In the latest episode of Mike Huneke’s Red Flags Rising podcast, Mike and his co-host Brent Carlson discuss important May 31, 2026 guidance from the US Bureau of Industry and Security (BIS) that impacts exports of controlled advanced computing items to global data centers.

The North American Electric Reliability Corporation’s new Reliability Guideline Risk Mitigation for Emerging Large Loads should be on the radar of data center developers and operators. The guideline is voluntary, and it does not directly impose mandatory compliance obligations on data centers. Nonetheless, the guideline is important because it reflects a shift in how NERC and the electric industry are thinking about large data centers.

As investment in nuclear energy continues to grow, driven in part by rising electricity demand from data centers, AI infrastructure, and other large-load users, project developers and investors are navigating increasingly sophisticated commercial and regulatory structures.

Global power is shifting from oil and shipping to AI infrastructure—fiber, power, semiconductors, and data centers that will define sovereignty and influence.

The North American Electric Reliability Corporation (NERC) has issued a Level 3 Alert calling for immediate attention from NERC registered entities regarding the reliability risks associated with large computational loads, including data centers, artificial intelligence training facilities, cryptocurrency mining operations, and similar facilities.