Artificial Intelligence

Why AI’s Biggest Infrastructure Problem May No Longer Be Computing Power

Huawei is betting that the future of AI infrastructure will depend as much on energy systems as on computing power

Updated

May 19, 2026 5:43 PM

Blue light painting with a lightbulb. PHOTO: UNSPLASH

As AI companies build larger models and deploy more AI agents, the industry is running into a new constraint: electricity. The challenge is no longer just about computing power. It is increasingly about how to supply, manage and sustain the energy needed to run AI infrastructure at scale.

That was the central argument behind Huawei’s latest AI data center strategy unveiled at its Global AIDC Industry Summit in Dongguan.

The company introduced what it calls a grid-interactive AIDC strategy, focused on redesigning AI data centers around power supply, cooling systems and energy management. AIDC refers to AI data centers built specifically for large-scale AI computing workloads.

The announcement reflects a broader shift happening across the industry. As AI systems grow larger, data centers are consuming more electricity and generating more heat than traditional computing infrastructure was designed to handle. Companies are now being forced to rethink not just chips and servers, but the physical systems supporting them.

Huawei argues that future AI infrastructure will need closer coordination between computing systems and energy grids. The company says traditional data center designs are struggling to keep up with fluctuating AI workloads, rising power density and the growing use of renewable energy sources.

Hou Jinlong, Director of the Board of Huawei and President of Huawei Digital Power, said: "The booming AI industry, widely adopted large models, and numerous AI agents are creating huge energy demands, set to boost the global AIDC capacity. Electricity is essential for computing; energy is the foundation for AI long-term development. Computing and electricity will deeply synergize and empower each other, progressively building an integrated framework that brings together new power systems and AI infrastructure."

A large part of Huawei’s strategy focuses on power architecture. AI workloads can create sudden spikes in electricity demand, especially in high-density computing environments. To manage that, Huawei says it plans to develop new power systems that combine grid-friendly UPS infrastructure with energy storage technologies.

Cooling is becoming another major pressure point. AI servers generate significantly more heat than traditional enterprise systems and Huawei says liquid cooling is now becoming essential for large-scale AI deployments. The company introduced a liquid cooling system designed to improve long-term thermal management inside high-density AI environments.

Huawei is also pushing modular construction methods to reduce deployment times for AI data centers. Instead of building infrastructure entirely onsite, parts of the system can be prefabricated and tested in factories before installation.

Bob He, Vice President of Huawei Digital Power, said: "The global AI industry is booming, and the token demand surges. As such, the AIDC industry is entering the Token era."

As part of that shift, Huawei introduced a proposed measurement system called the TokEnergy Index. The company says the metric is designed to measure the relationship between energy consumption and AI computing output, rather than relying only on traditional data center efficiency metrics such as PUE.

The broader message behind the strategy is that AI infrastructure is becoming an energy engineering problem as much as a computing problem. As global demand for AI continues to rise, companies across the sector are beginning to realise that the future of AI may depend not only on better models, but also on whether power grids and data centers can keep up with them.

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Artificial Intelligence

HTC VIVERSE and World Labs Partner to Turn AI-Generated 3D Worlds Into Interactive Experiences

The focus is no longer just AI-generated worlds, but how those worlds become structured digital products

Updated

March 17, 2026 1:01 AM

The inside of a pair of HTC VR goggles. PHOTO: UNSPLASH

As AI tools improve, creating 3D content is becoming faster and easier. However, building that content into interactive experiences still requires time, structure and technical work. That difference between generation and execution is where HTC VIVERSE and World Labs are focusing their new collaboration.

HTC VIVERSE is a 3D content platform developed by HTC. It provides creators with tools to build, refine and publish interactive virtual environments. Meanwhile, World Labs is an AI startup founded by researcher Fei-Fei Li and a team of machine learning specialists. The company recently introduced Marble, a tool that generates full 3D environments from simple text, image or video prompts.

While Marble can quickly create a digital world, that world on its own is not yet a finished experience. It still needs structure, navigation and interaction. This is where VIVERSE fits in. By combining Marble’s world generation with VIVERSE’s building tools, creators can move from an AI-generated scene to a usable, interactive product.

In practice, the workflow works in two steps. First, Marble produces the base 3D environment. Then, creators bring that environment into VIVERSE, where they add game mechanics, scenes and interactive elements. In this model, AI handles the early visual creation, while the human creator defines how users explore and interact with the world.

To demonstrate this process, the companies developed three example projects. Whiskerhill turns a Marble-generated world into a simple quest-based experience. Whiskerport connects multiple AI-generated scenes into a multi-level environment that users navigate through portals. Clockwork Conspiracy, built by VIVERSE, uses Marble’s generation system to create a more structured, multi-scene game. These projects are not just demos. They serve as proof that AI-generated worlds can evolve beyond static visuals and become interactive environments.

This matters because generative AI is often judged by how quickly it produces content. However, speed alone does not create usable products. Digital experiences still require sequencing, design decisions and user interaction. As a result, the real challenge is not generation, but integration — connecting AI output to tools that make it functional.

Seen in this context, the collaboration is less about a single product and more about workflow. VIVERSE provides a system that allows AI-generated environments to be edited and structured. World Labs provides the engine that creates those environments in the first place. Together, they are testing whether AI can fit directly into a full production pipeline rather than remain a standalone tool.

Ultimately, the collaboration reflects a broader change in creative technology. AI is no longer only producing isolated assets. It is beginning to plug into the larger process of building complete experiences. The key question is no longer how quickly a world can be generated, but how easily that world can be turned into something people can actually use and explore.