Technology
Amazon CEO Andy Jassy said Thursday that the high cost of AI inference computing could limit broader enterprise adoption of artificial intelligence. Speaking on Amazon's third-quarter earnings call, Jassy identified inference costs and a shortage of skilled employees as obstacles, and stressed the need to lower inference costs. He noted inference already accounts for well over half of AWS' AI revenue, and Amazon is developing custom silicon like Trainium chips to reduce expenses. Gartner forecasts inference will make up 55% of global AI-optimized infrastructure-as-a-service spending in 2026, reaching $23.3 billion. Amazon reported Q3 net sales of $201.9 billion, up 12% year over year, with AWS revenue climbing 39.3% to $46 billion, though its Q4 revenue forecast came in slightly below Wall Street expectations.
A new Ceres report shows that data centers in seven major U.S. states indirectly consume approximately 3.4 trillion gallons of freshwater due to electricity use, making electricity their largest source of water consumption. The report projects that by 2030, indirect water use by data centers could rise to between 4.1 trillion and 7.6 trillion gallons, and recommends that companies incorporate water use in power procurement into risk assessments.
A new report from the Natural Resources Defense Council (NRDC) shows that the Trump administration's energy policies, including repealing Inflation Reduction Act tax credits, imposing tariffs, and buying back offshore wind leases, could lead to a loss of 390 to 540 GW of wind, solar, and energy storage capacity in the US over the next decade. The report notes that these losses will not be fully offset by other new power sources, with only an estimated 9 GW of natural gas capacity added. Meanwhile, electricity costs will rise, with household electricity prices potentially increasing by an additional 4.2% to 5.5%.
Meta Platforms has proposed a settlement of up to $18 billion in a landmark case involving children's privacy. The case was jointly brought by attorneys general from 52 U.S. states, territories, and the District of Columbia. In addition to the substantial compensation, Meta has agreed to implement default time limits and night mode for underage users, and has called on TikTok and YouTube to take similar measures.