AI data centers are pushing the limits of traditional power infrastructures. According to a recent Deloitte analysis, U.S. AI data centers’ power consumption could grow more than 30-fold over the next decade, increasing from 4 gigawatts in 2024 to an estimated 123 gigawatts by 2035. The massive and growing energy demand for training and operating advanced AI models is stressing the grid with load management challenges, interconnection delays, and inefficiencies that cannot be solved merely by expanding grid capacity.
Capstone Green Energy Holdings, Inc. (OTCQX: CGEH) and Microgrids 4 AI, Inc. (MG4AI) have developed a solution that addresses these challenges directly by combining Capstone’s clean, natural gas-powered 800 VDC microturbine technology with MG4AI’s modular, liquid-cooled AI-ready data center kits into a single turnkey package called the “AI Power Block.” This integrated system supplies AI data centers with high-voltage DC electricity, removing costly AC to DC conversion steps typical in older systems, improving efficiency by up to 5%, and reducing copper wiring by up to 45%. It provides a reliable, compact, and efficient power source capable of supporting AI racks with power densities exceeding 200 kilowatts and heading toward megawatt levels.
This new AI Power Block is designed to be scalable from small edge sites under 20 megawatts to large AI giga-campuses exceeding one gigawatt. Its compatibility with upcoming GPU platforms from major manufacturers like NVIDIA ensures future-proofing for at least four generations of AI computing hardware, essential for the rapidly evolving AI workload demands. MG4AI’s containerized, liquid-cooled modular kits provide scalable, sovereign, and sustainable AI infrastructure that can be quickly deployed without reliance on local electric grids.
The collaboration was formalized in a strategic Memorandum of Understanding (MOU) signed by Capstone and Microgrids. This agreement unites Capstone’s expertise in ultra-low emission microturbine power systems, backed by over 10,600 units delivered globally, with MG4AI’s modular data center innovation led by veterans of the digital infrastructure and semiconductor industries. Together, they offer a fast-deployable, resilient, and efficient power and cooling solution tailored for the unique needs of next-generation AI data centers. This partnership aims to overcome long interconnection queues and grid constraints as reported by Deloitte and BloombergNEF, supporting AI data center operators with grid-independent, environmentally responsible power solutions.
The Capstone-MG4AI AI Power Block is a major step toward solving the pressing energy infrastructure challenges of the growing AI era by delivering cleaner, modular, and scalable on-site power and cooling for AI data centers globally.
