SoftBank’s billion-dollar loss may have put a cap on AI’s natural gas ambitions
SoftBank deemed much of its nonrefundable turbine deposits worthless after ordering almost 50% more capacity than it needed.
Losses tied to power-generating equipment accounted for more than half of its $7.1 billion quarterly loss. The oversized orders helped secure turbines as delivery queues stretched into the early 2030s. Analysts cited in the piece say smaller grid connections paired with batteries could better serve many data centers, while gas supplies carry winter curtailment risks. The article does not expect mass gas-plant cancellations, given AI’s power demand.
TechCrunch AI's note
Losses tied to power-generating equipment accounted for more than half of its $7.1 billion quarterly loss. The oversized orders helped secure turbines as delivery queues stretched into the early 2030s. Analysts cited in the piece say smaller grid connections paired with batteries could better serve many data centers, while gas supplies carry winter curtailment risks. The article does not expect mass gas-plant cancellations, given AI’s power demand.
TechCrunch AI's note
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