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Power, cooling and GPU links form triple barrier to data centre expansion amid AI boom

Surging demand for AI computing is pushing the data centre industry up against physical limits in power supply, cooling performance and GPU-to-GPU data transfer, making rapid expansion harder through chip gains alone. Grid constraints, long waits for high-voltage transformers and rising costs are key hurdles. Operators are adding on-site generation and exploring SMRs. Cooling is shifting from air to liquid systems. Interconnects are moving from copper to optics, while solid-state transformers draw interest despite high costs.