Exowatt, a startup developing innovative energy solutions for artificial intelligence (AI) data centers, has recently secured a significant investment of $20 million. This funding boost comes from esteemed investors, including Sam Altman, CEO of OpenAI, and venture capital firm Andreessen Horowitz.
Exowatt’s approach to addressing the energy-intensive nature of AI involves utilizing shipping container-sized modules equipped with solar lenses. These modules capture solar energy and convert it into heat, which is stored in cheap material for up to 24 hours. The stored heat is then used to produce electricity through an engine, providing a sustainable and cost-effective solution for powering AI data centers.
Hannan Parvizian, CEO of Exowatt, emphasizes the importance of avoiding fossil fuels in solving the energy challenges faced by data centers. The company focuses on using U.S.-made components in its modules to reduce reliance on Chinese-made parts. Exowatt aims to offer electricity at a competitive rate of one cent per kilowatt-hour minus subsidies and anticipates delivering its modules later this year.
The growing energy consumption of AI has raised concerns among tech and climate leaders, as it accounts for a substantial portion of global electricity usage. Exowatt’s solution addresses this issue by providing a renewable and efficient alternative to traditional energy sources. The company’s commitment to using U.S.-made components also supports domestic manufacturing and reduces supply chain vulnerabilities.
