Pace Ventures – Medium

Although data centres have existed since the advent of computing, the rise of cloud computing and the widespread adoption of AI, along with other digital services, have led to an exponential demand for larger and preferably sustainable data centres.

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Advanced Hardware Solutions

It’s not just the design of data centres that can be made more energy-efficient. There seems to be a gap in innovation on the chip side as well(for AI use specifically) partly because the processors that are used for AI training — GPUs — were originally designed for a different use-case: real-time rendering of computer-generated graphics in video games.

• Addressing the challenge of improving energy efficiency, UK-based Lightmatter(est. 2017, investors include Sequoia and Hewlett Packard Pathfinder) is developing new chips using photonics technology to build processors specifically for AI development, which use less energy than traditional GPUs. Companies like Lumai, Lumiphase and Xscape Photonics(est. 2022, backed by Life Extention Ventures) are working on similar innovations. Celestial AI(est. 2020, backed by major funds such as Engine Ventures), to serve AI and machine learning applications, has developed a “photonic fabric” technology that could increase chiplet efficiency and helps push the limits of traditional data centres.