Energy, Power & Infrastructure Summary Report - Q2 2025
Surging AI and cloud adoption are driving exponential growth in data center power demand – projected to rise by 160% between 2024 and 2030. Data centers now account for 3% of U.S. electricity usage, a figure expected to reach 8% by decade’s end. As utilities struggle to meet load requests, bottlenecks in transmission, outdated infrastructure, and a shortage of key components like transformers are delaying expansion.
To address this, over $150 billion in public and private capital is being deployed into grid upgrades, generation, and manufacturing. Leading utilities, OEMs, and EPC firms are expanding capacity to meet escalating interconnection and construction timelines. At the same time, M&A activity has surged – $57 billion in closed data center-related deals in 2024 and $29 billion pending – driven driven largely by private equity. Strategic acquisitions now focus on vertical integration across the power delivery stack: substations, transmission lines, switchgear, and energy infrastructure.
For investors, the takeaway is clear: the digital economy is power-constrained, and capital is flowing toward scalable energy solutions and grid modernization. Our report highlights valuation trends, strategic deal activity, and emerging opportunities across energy, infrastructure, and mission-critical component providers.
