AI data centers surge, but Moody’s flags risk in the race to scale

Moody’s warns that the explosive growth of AI-driven data centers could outpace both power availability and financial sustainability. Gigawatt-scale “AI factories” now dominate development, pushing infrastructure to its limits while raising credit risks. As rack densities soar and sites shift to remote, power-rich regions, questions loom over supply chain resilience and overbuilding. Moody’s highlights pre-leasing and phased construction as key strategies to mitigate this fast-mounting pressure.