AI datacentre expansion is increasingly constrained by shortages of electricity, water and suitable land, according to Forrester. The firm says governments, utilities and operators will need to rethink how growth is financed and regulated, with communities likely to exercise greater influence over whether new facilities are approved.

Forrester expects operators to fund grid upgrades, pay for reserved capacity and provide guarantees against speculative demand, while facing long-term minimum payments, energy tariffs and requirements to reduce consumption during shortages. PwC estimates global datacentre investment could reach $22tn–$50tn by 2050, with a central estimate of $31.6tn; meanwhile, proposed US changes could reduce public participation in some air-permit decisions, potentially easing approval for certain power projects.