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Microsoft Revives Three Mile Island for AI Energy Needs Amid Regulatory and Subsidy Debates

Regarding AI investments, Microsoft plans to revive the dormant Three Mile Island nuclear plant to meet its energy needs for artificial intelligence, purchasing 100% of its output for 20 years.   Yes, that Three Mile Island.   This unprecedented deal aims to provide clean energy and support the tech industry’s growing demand, but it faces regulatory hurdles and raises concerns about public subsidies. The project, costing around $1.6 billion, is contingent on federal tax breaks and could create significant local jobs while contributing to the power grid serving 65 million people.

And in AI backlash, LinkedIn has suspended its use of UK user data for AI training following backlash from users and digital rights groups, who criticized its opt-out policy as inadequate for protecting privacy. The company has reversed its decision and will not apply the policy in the UK, EU, or Switzerland while updating its privacy policy to clarify how user data is used. The Information Commissioner’s Office welcomed LinkedIn’s change, emphasizing respecting user privacy rights in AI training.

A 3M study reveals that AI is significantly underutilized in UK workplaces. Only 4% of adults use it daily despite 84% having used it at some point. While many recognize AI’s potential to transform work, a mindset shift and clear regulations are needed to increase adoption. Most respondents expect AI to handle over 50% of their tasks in the next decade, highlighting the need for training and reassurance that AI will enhance productivity rather than replace jobs.

The 2024 REVelate survey by Domino Data Lab reveals that while 97% of AI leaders commit to responsible AI, nearly half are under-resourced to implement effective governance, posing risks of regulatory violations and reputational damage. Responsible AI is now a top priority for 43% of leaders, yet 48% cite resource constraints as a significant barrier. Organizations are focusing on frameworks to translate responsible AI principles into practice, with key capabilities like logging, auditability, and monitoring identified as critical for success.

Why do we care?

AI draws a lot of power, and data centers are hungry for that.     That said, consider the fact that much of our AI discussion revolves around it being on the edge as well, requiring more advanced compute.   IT service providers should be prepared to discuss sustainable and energy-efficient AI strategies with clients, especially as energy consumption becomes a critical consideration for large-scale AI deployments.

There is also another case here of Europeans getting protections Americans don’t based on regulatory compliance. I’ll balance that with the findings, which highlight a significant gap between AI’s potential and its current usage, driven by a lack of training, regulatory clarity, and perhaps apprehension about job displacement.  

Highlight your role in helping organizations adapt to AI, not just through technology but by fostering a cultural shift towards embracing AI’s benefits. This can set your firm apart in a market still grappling with how to fully leverage AI.