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Top AI experts from Silicon Valley were stunned upon seeing China's enormous head start across all segments of applied artificial intelligence.
Of particular concern was China's access to cheap electricity, which is simply not available in the United States, and very likely never coming.
The experts conclude that the AI race is likely already over.
In China, the power demand increases each year by the equivalent of an entire Germany's worth of electricity consumption. But China's energy supplies are growing much faster, and add two Germany's worth of power annually.
This abundance, which is typical of "overcapacity" of so many other critical building blocks of industry, is the result of a deliberate strategy, executed over decades: Chinese planners develop infrastructure far in advance of when it will be needed.
Closing scene, Guangfulin Ancient Relics Park, Shanghai
Resources and links:
Reuters, Yellen pushes for joint G7 response to China's industrial overcapacity
Overcapacity: the economic buzzword fuelling Europe’s clash with China
Deloitte, Can US infrastructure keep up with the AI economy?
TechBuzz China
https://techbuzzchina.com/team/
https://www.lantaugroup.com/people/David+Fishman
https://x.com/ruima/status/1955040979259650267
Fortune, AI experts return from China stunned: The U.S. grid is so weak, the race may already be over
https://fortune.com/2025/08/14/data-centers-china-grid-us-infrastructure/
Magnificent Seven Hit Record $19.6T on AI Surge
https://www.voronoiapp.com/markets/-Magnificent-Seven-Hit-Record-196T-on-AI-Surge-3004
Will we have enough natural gas turbines to power AI data centers?
Number of nuclear reactors under construction worldwide as of June 2025, by country
https://www.statista.com/statistics/513671/number-of-under-construction-nuclear-reactors-worldwide/
Ranked: America’s Cheapest Sources of Electricity in 2024
https://www.motive-power.com/ranked-americas-cheapest-sources-of-electricity-in-2024/
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Mirrored - Inside China Business
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