Sam Altman-Backed Exowatt Unveils AI Data Centers With Off-Grid Power

Exowatt has launched ExoRise, a new unit designed to supply off-grid, clean power to AI data centers as energy demand accelerates. 

The Sam Altman-backed startup said the unit is built to deliver reliable electricity without relying on constrained utility grids.

According to ESG Dive, ExoRise will develop powered land and on-site energy infrastructure using Exowatt’s solar and battery technology, with initial projects planned in solar-rich regions of the US Southwest.

A model focused on where power can be built fastest

ExoRise is structured as a development model that pairs energy infrastructure with data center construction, with Exowatt taking responsibility for siting, buildout, and delivery instead of selling equipment alone.

The unit relies on Exowatt’s P3 system, which stores solar energy as heat and converts it to electricity when needed.

Projects are behind-the-meter installations, with generation and storage located directly at the site to align power availability with construction timelines and operational needs.

Early deployments are expected in New Mexico, West Texas, Arizona, and Nevada, where land availability supports faster siting and large-scale development.

Data center growth is outpacing utility timelines

Electricity demand from data centers is climbing rapidly as AI workloads expand, with larger facilities requiring far more power than earlier generations of compute infrastructure. Forecasts for data center electricity use have been revised upward as operators plan campuses measured in hundreds of megawatts.

BloombergNEF estimates US data center power demand could reach 106 gigawatts by 2035, a 36% increase from its prior forecast, driven in part by the growing size of newly announced projects. More than a quarter of major US data center developments disclosed in 2024 exceed 500 megawatts, according to the firm.

At the same time, grid expansion and interconnection processes often stretch across multiple years, creating timing gaps between when facilities are ready to be built and when power becomes available. That mismatch has pushed developers and hyperscalers to explore alternatives that can supply electricity on timelines aligned with AI deployment schedules.

From selling systems to building infrastructure

ExoRise gives Exowatt a way to engage earlier in data center planning, as power availability increasingly shapes hyperscale site selection and build schedules.

Exowatt has added data center and infrastructure leadership to run ExoRise, tasking the unit with managing partnerships with hyperscalers and infrastructure providers.

Cisco CEO Chuck Robbins says the AI boom will reshape the economy, but not without painful fallout.

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