Company: GEDC
Filing Date: 2025-04-02
Form Type: 10-K
Source: 0001641172-25-002190
Chunk: 6

Company: CalEthos, Inc.
Filing Date: 2025-04-02
Form: 10-K
Item: Item 1
Chunk 6
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 center market
alone has doubled, driven by digitization, cloud and AI. To power this increase, it was reported that by 2030, data centers could require
8%-12% of the total U.S. power demand compared to 3%-4% today.

The
U.S. grid has not been able to keep pace with this demand. While utilities can likely generate sufficient power to meet data center needs,
they face bottlenecks with transporting that power via transmission and distribution infrastructure. As a result, grid interconnection
takes longer, there is more congestion on the network, and capacity is increasingly expensive. If the U.S. continues to build high-voltage
transmission infrastructure at its current rate, it is estimated that it will take at least 80 years to deliver the power that is needed
over the next decade.

Bloom
Energy believes new data center projects will struggle to get timely access to power. In the U.S., 55 GW of data center IT capacity is
expected to come online in the next five years. The industry is already seeing data center IT capacity buildout ramp up with ~20 GW of
capacity announced so far for 2025, and it is expected to continue growing. Bloom Energy expects that at least another 35 GW of data
center capacity will be announced within the next five years to meet projected data center demand.

4

In
addition, the environmental impact of power generation and use is expected to become more stringent. Sustainability regulations are expected
to become more difficult to meet, and it is expected that the use of renewable energy credits (RECs) to offset carbon footprints of conventional
data center power sources will no longer qualify. Today, less than 5% of the energy directly powering data centers is clean.

According
to the 2024 United States Data Center Energy Usage Report “Energy Analysis and Environmental Impacts Division, Lawrence Berkeley
National Laboratory,” energy consumption by U.S. data centers has been on the rise and reached 280 terawatt hours (TWh) in
2024 accounting for an estimated 5% to 6% of the nation’s total electricity usage. Projections for data center energy consumption
by 2028 range from 325 TWh to 580 TWh. This annual usage would correspond to a power demand for data centers of between 74 GW and 132
GW, which equates to 6.7% to 12.0% of the anticipated total U.S. electricity consumption for