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With the ongoing disaster approaching its second week, here’s where things stand.

A week ago, forecasters in Southern California warned residents of Los Angeles that conditions would be dry, windy, and conducive to wildfires. How bad things have gotten, though, has taken everyone by surprise. As of Monday morning, almost 40,000 acres of Los Angeles County have burned in six separate fires, the biggest of which, Palisades and Eaton, have yet to be fully contained. The latest red flag warning, indicating fire weather, won’t expire until Wednesday.
Many have questions about how the second-biggest city in the country is facing such unbelievable devastation (some of these questions, perhaps, being more politically motivated than others). Below, we’ve tried to collect as many answers as possible — including a bit of good news about what lies ahead.
A second Santa Ana wind event is due to set in Monday afternoon. “We’re expecting moderate Santa Ana winds over the next few days, generally in the 20 to 30 [mile per hour] range, gusting to 50, across the mountains and through the canyons,” Eric Drewitz, a meteorologist with the Forest Service, told me on Sunday. Drewitz noted that the winds will be less severe than last week’s, when the fires flared up, but he also anticipates they’ll be “more easterly,” which could blow the fires into new areas. A new red flag warning has been issued through Wednesday, signaling increased fire potential due to low humidity and high winds for several days yet.
If firefighters can prevent new flare-ups and hold back the fires through that wind event, they might be in good shape. By Friday of this week, “it looks like we could have some moderate onshore flow,” Drewitz said, when wet ocean air blows inland, which would help “build back the marine layer” and increase the relative humidity in the region, decreasing the chances of more fires. Information about the Santa Anas at that time is still uncertain — the models have been changing, and the wind is tricky to predict the strength of so far out — but an increase in humidity will at least offer some relief for the battered Ventura and Orange Counties.
The Palisades Fire, the biggest in L.A., ripped through the hilly and affluent area between Santa Monica and Malibu, including the Pacific Palisades neighborhood, the second-most expensive zip code in Los Angeles and home to many celebrities. Structures in Big Rock, a neighborhood in Malibu, have also burned. The fire has also encroached on the I-405 and the Getty Villa, and destroyed at least two homes in Mandeville Canyon, a neighborhood of multimillion-dollar homes. Students at nearby University of California, Los Angeles, were told on Friday to prepare for a possible evacuation.
The Eaton Fire, the second biggest blaze in the area, has killed 16 people in Altadena, a neighborhood near Pasadena, according to the Los Angeles Times, making it one of the deadliest fires in the modern history of California.
The 1,000-acre Kenneth fire is 100% contained but still burning near Calabasas and the gated community of Hidden Hills. The Hurst Fire has burned nearly 800 acres and is 89% contained and is still burning near Sylmar, the northernmost neighborhood in L.A. Though there are no evacuation notices for either the Kenneth or the Hurst fires, residents in the L.A. area should monitor the current conditions as the situation continues to be fluid and develop.
The 43-acre Sunset Fire, which triggered evacuations last week in Hollywood and Hollywood Hills, burned no homes and is 100% contained.
The Lidia Fire, which ignited in a remote area south of Acton, California, on Wednesday afternoon, burned 350 acres of brush and is 100% contained.
It can take years to determine the cause of a fire, and investigations typically don’t begin until after the fire is under control and the area is safe to reenter, Edward Nordskog, a retired fire investigator from the Los Angeles Sheriff’s Department, told Heatmap’s Emily Pontecorvo. He also noted, however, that urban fires are typically easier to pinpoint the cause of than wildland fires due to the availability of witnesses and surveillance footage.
The vast majority of wildfires, 85%, are caused by humans. So far, investigators have ruled out lightning — another common fire-starter — because there were no electrical storms in the area when the fires started. In the case of the Palisades Fire, there were no power lines in the area of the ignition, though investigators are now looking into an electrical transmission tower in Eaton Canyon as the possible cause of the deadly fire in Altadena. There have been rumors that arsonists started the fires, but investigators say that scenario is also pretty unlikely due to the spread of the fires and how remote the ignition areas are.
Officially, 24 people have died, but that tally is likely to rise. California Governor Gavin Newsom said Sunday that he expects “a lot more” deaths will be added to the total in the coming days as search efforts continue.
Incoming President Donald Trump slammed the response to the L.A. fires in a Truth Social post on Sunday morning: “This is one of the worst catastrophes in the history of our Country,” he wrote. “They just can’t put out the fires. What’s wrong with them?”
Though there is much blame going around — not all of it founded in reality — the challenges facing firefighters are immense. Last week, because of strong Santa Ana winds, fire crews could not drop suppressants like water or chemical retardant on the initial blazes. (In strong winds, water and retardant will blow away before they reach the flames on the ground.)
Fighting a fire in an urban or suburban area is also different from fighting one in a remote, wild area. In a true wildfire, crews don’t use much water; firefighters typically contain the blazes by creating breaks — areas cleared of vegetation that starve a fire of fuel and keep it from spreading. In an urban or suburban event, however, firefighters can’t simply hack through a neighborhood, and typically have to use water to fight structure fires. Their priority also shifts from stopping the fire to evacuating and saving people, which means putting out the fire itself has to wait.
What’s more, the L.A. area faced dangerous fire weather going into last week — with wind gusts up to 100 miles per hour and dry air — and the persistence of the Santa Ana winds during firefighting operations through the weekend made it extremely difficult for emergency managers to gain a foothold.
Trump and others have criticized Los Angeles for being unprepared for the fires, given reports that some fire hydrants ran dry or had low pressure during operations in Pacific Palisades. According to the Los Angeles Department of Water and Power, about 20% of hydrants were affected, mostly at higher elevations.
The problem isn’t a lack of preparation, however. It’s that the L.A. wildfires are so large and widespread, the county’s preparations were quickly overwhelmed. “We’re fighting a wildfire with urban water systems, and that is really challenging,” Los Angeles Department of Water and Power CEO Janisse Quiñones said in a news conference last week. When houses burn down, water mains can break open. Civilians also put a strain on the system when they use hoses or sprinkler systems to try to protect their homes.
On Sunday, Judy Chu, the Democratic lawmaker representing Altadena, confirmed that fire officials had told her there was enough water to continue the battle in the days ahead. “I believe that we're in a good place right now,” she told reporters. Newsom, meanwhile, has responded to criticism over the water failure by ordering an investigation into the weak or dry hydrants.
So-called “super soaker” planes have had no problem with water access; they’re scooping directly from the ocean.
Yes. Although aerial support was grounded in the early stages of the wildfires due to severe Santa Ana winds, flights resumed during lulls in the storms last week.
There is a misconception, though, that water and retardant drops “put out” fires; they don’t. Instead, aerial support suppresses a fire so crews can get in close and use traditional methods, like cutting a fire break or spraying water. “All that up in the air, all that’s doing is allowing the firefighters [on the ground] a chance to get in,” Bobbie Scopa, a veteran firefighter and author of the memoir Both Sides of the Fire Line, told me last week.
With winds expected to pick up early this week, aerial firefighting operations may be grounded again. “If you have erratic, unpredictable winds to where you’ve got a gust spread of like 20 to 30 knots,” i.e. 23 to 35 miles per hour, “that becomes dangerous,” Dan Reese, a veteran firefighter and the founder and president of the International Wildfire Consulting Group, told me on Friday.
Because of the direction of the Santa Ana winds, wildfire smoke should mostly blow out to sea. But as winds shift, unhealthy air can blow into populated areas, affecting the health of residents.
Wildfire smoke is unhealthy, period, but urban and suburban smoke like that from the L.A. fires can be particularly detrimental. It’s not just trees and brush immolating in an urban fire, it’s also cars, and batteries, and gas tanks, and plastics, and insulation, and other nasty, chemical-filled things catching fire and sending fumes into the air. PM2.5, the inhalable particulates from wildfire smoke, contributes to thousands of excess deaths annually in the U.S.
You can read Heatmap’s guide to staying safe during extreme smoke events here.
“The bad news is, I’m not seeing any rain chances,” Drewitz, the Forest Service meteorologist, told me on Sunday. Though the marine layer will bring wetter air to the Los Angeles area on Friday, his models showed it’ll be unlikely to form precipitation.
Though some forecasters have signaled potential rain at the end of next week, the general consensus is that the odds for that are low, and that any rain there may be will be too light or short-lived to contribute meaningfully to extinguishing the fires.
The chaparral shrublands around Los Angeles are supposed to burn every 30 to 130 years. “There are high concentrations of terpenes — very flammable oils — in that vegetation; it’s made to burn,” Scopa, the veteran firefighter, told me.
What isn’t normal, though, is the amount of rain Los Angeles got ahead of this past spring — 52.46 inches in the preceding two years, the wettest period in the city’s history since the late 1800s — which was followed by a blisteringly hot summer and a delayed start to this year’s rainy season. Since October, parts of Southern California have received just 10% of their normal rainfall
This “weather whiplash” is caused by a warmer atmosphere, which means that plants will grow explosively due to the influx of rain and then dry out when the drought returns, leaving lots of dry fuels ready and waiting for a spark. “This is really, I would argue, a signature of climate change that is going to be experienced almost everywhere people actually live on Earth,” Daniel Swain, a climate scientist at the University of California, Los Angeles, who authored a new study on the pattern, told The Washington Post.
We know less about how climate change may affect the Santa Anas, though experts have some theories.
At least 12,000 structures have burned so far in the fires, which is already exacerbating the strain on the Los Angeles housing market — one of the country’s tightest even before the fires — as thousands of displaced people look for new places to live. “Dozens and dozens of people are going after the same properties,” one real estate agent told the Los Angeles Times. The city has reminded businesses that price gouging — including raising rental prices more than 10% — during an emergency is against the law.
Los Angeles had a shortage of about 370,000 homes before the fires, and between 2021 and 2023, the county added fewer than 30,000 new units per year. Recovery grants and federal aid can lag, and it often takes more than two years for even the first Housing and Urban Development Disaster Recovery Grants’ expenditures to go out.
My colleague Matthew Zeitlin wrote for Heatmap that the economic impact of the Los Angeles fire is already much higher than that of other fires, such as the 2018 Camp fire, partly because of the value of the Pacific Palisades real estate.
The wildfires may “deal a devastating blow to [California’s] fragile home insurance market,” Heatmap’s Matthew Zeitlin wrote last week. In recent years, home insurers have left California or declined to write new policies, at least partially due to the increased risk of wildfires in the state.
Depending on the extent of the damage from the fires, the coffers of California’s FAIR Plan — which insures homeowners who can’t get insurance otherwise, including many in Pacific Palisades and Altadena — could empty, causing it to seek money from insurers, according to the state’s regulations. As Zeitlin writes, “This would mean that Californians who were able to buy private insurance — because they don’t live in a region of the state that insurers have abandoned — could be on the hook for massive wildfire losses.”
First and foremost, sign up for all relevant emergency alerts. Make sure to turn on the sound on your phone and keep it near you in case of a change in conditions. Pack a “go bag” with essentials and consider filling your gas tank now so that you can evacuate at a moment’s notice if needed. Read our guide on what to do if you get a pre-evacuation or an evacuation notice ahead of time so that you’re not scrambling for information if you get an alert.
The free Watch Duty app has become a go-to resource for people affected by the fires, including friends and family of Angelenos who may themselves be thousands of miles away. The app provides information on fire perimeters, evacuation notices, and power outages. Its employees pull information directly from emergency responders’ radio broadcasts and sometimes beat official sources to disseminating it. If you need an endorsement: Emergency responders rely on the app, too.
There are many scams in the wake of disasters as crooks look to take advantage of desperate people — and those who want to help them. To play it safe, you can use a hub like the one established by GoFundMe, which is actively vetting campaigns related to the L.A. fires. If you’re looking to volunteer your time, make a donation of clothing or food, or if you’re able to foster animals the fire has displaced, you can use this handy database from the Mutual Aid Network L.A. There are also many national organizations, such as the Red Cross, that you can connect with if you want to help.
The City of Los Angeles and the Los Angeles Fire Department have asked that do-gooders not bring donations directly to fire stations or shelters; such actions can interfere with emergency operations. Their website provides more information about how you can help — productively — on their website.
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Republican Mike Braun loves data centers but hates electricity price increases.
Elected officials — especially in executive positions like governor, mayor, or, say, president — tend to support economic development writ large, looking to bring jobs to their constituents and expand the tax base. By that same token, they also tend to be quite sensitive to rising costs — especially utility bills, for which voters tend to hold state governments accountable, per Heatmap polling.
That puts governors — especially Republican governors, who are often more friendly to business and more likely to buy into arguments proffered by the White House about national security and economic competitiveness — in a tricky position as both the data center buildout and opposition to it gain momentum across the United States. No one embodies the dilemma more than Indiana’s Governor Mike Braun, who has positioned himself as a champion of data centers while also going on the rhetorical warpath against the utility AES Indiana and the Indiana Utility Regulatory Commission.
His latest barrage against Indiana’s electricity ratemaking process started in mid-June, when the utility commission approved a rate case from AES Indiana granting the utility a $71 million revenue increase across two phases, the first beginning in July, each of which will raise monthly bills by “less than $5 per month,” according to the company. AES had originally asked for a $190 million increase, but thanks in part to intervention from Indiana’s Office of Utility Consumer Counselor, a public advocate in utility rate hearings, it was eventually whittled down.
The utility commission handed down its decision on June 17. Later that same day, Braun issued a blast against AES and the IURC, saying in a statement that “my top priority is affordability, which is why I am deeply disappointed by the IURC’s approval of another AES rate increase. Hoosiers have spent years tightening their belts and making tough financial decisions. It’s time for utility companies to do the same.” The next day he was back with another fire-breathing statement: “Yesterday’s decision by the IURC to allow another rate increase by AES is unacceptable,” he said, and called for a rehearing of the rate case.
The regulator is in the midst of an “investigative inquiry on energy affordability” launched earlier this year that has required the state’s five large investor-owned utilities to make presentations on their ratemaking. “We’ve heard the concerns about the burden utility bills have on families and businesses across the state, and we are committed to evaluating short- and long-term solutions related to affordability,” then-Chair Andy Zay said in a news release in February announcing the investigation.
Braun, apparently, wasn’t convinced. By Monday, June 22, he’d removed Andy Zay as chairman of the IURC, and installed Commissioner Anthony Swinger to lead the regulator. “Affordability is my top priority,” he reiterated in a post on X, “and I am confident Chairman Swinger will deliver on that priority for Hoosiers.”
When asked about this past month’s events, AES Indiana said that it “respects the independence of the regulatory process and works constructively with all stakeholders. We remain focused on executing under the final approved order and delivering for our customers,” a spokesperson told me. Neither Braun’s office nor the IURC responded to my requests for comment.
The rhetoric was not particularly new for Braun. Last fall, for instance, he declared of utility rate hikes, “we can’t take it anymore,” and ordered the state’s utility consumer advocate “to evaluate utilities’ profits and find cost-saving measures to ease the financial burden on Hoosiers.” That said, his swift actions of late surprised some outside observers. “While Gov. Braun has made utility affordability a priority, the abrupt leadership change at the IURC is nonetheless surprising,” Jefferies analyst Julien Dumoulin-Smith wrote in a note to clients. “We perceive a cautionary tone for Indiana regulation; future orders will likely be more visibly defensible on affordability.”
Indiana sits at the transmission-rich crossroads between the Midwest and East Coast and has long been governed by business-friendly Republicans, and thus has thus become a locus of data center construction — and backlash. Twenty-one out of 92 counties in the state have enacted some sort of pause or ban on data center construction, according to Heatmap Pro data. Earlier this year, the Indianapolis City Council passed a resolution calling for a pause on approvals for data centers. When the White House earlier this year got large technology companies to commit to the Ratepayer Protection Pledge, in which they agreed to fund any additional grid costs incurred by their data centers, it was arguably following in the footsteps of Indiana, which negotiated a large load tariff last year meant to shield customers of Indiana Michigan Power, a subsidiarity of AEP, from data center-related costs.
Braun’s position in Indiana also mirrors the ideological divide in Washington — Braun supports data center development while demanding that utilities figure out a way to spare ratepayers. Advocates to his left, both at the state and federal level support a pause on all data center construction. André Carson, one of two Democrats representing Indiana in the House of Representatives, introduced a bill that would enact a nationwide data center moratorium alongside Alexandra Ocasio-Cortez and Bernie Sanders.
Citizens Action Coalition’s Ben Inskeep has attributed the price hikes over years to coziness between regulators and utilities in the r and tend to favor a moratorium or pause on data center development to develop consumer protections. (For what it’s worth, most Americans seem to prefer the leftward road.) .
Indiana’s typical household electricity bills have indeed risen in the past couple of years, from about $113 per month two years ago to $120 per month as of May, while prices have risen 19%, according to Heatmap and MIT’s Electricity Price Hub. Prices are up 12% in the past year, according to the Heatmap-MIT data, while the electricity prices nationwide have risen 6%.
Attributing rate hikes to data centers is a notoriously tricky exercise, however, and researchers have generally found that in most states, it’s hard to discern an exact connection. When pressed, Indiana utilities have claimed that higher prices are necessary to fund improvements for reliability or cold weather. Some critics of Indiana utilities, like Citizens Action Coalition Ben Inskeep, attribute years of rate hikes to coziness between the state legislature and utilities and the gradual weakening of regulators who could push back against hikes. Citizens Action has called for a moratorium on data centers in the state.
In spite of his harsh words against utilities, Braun has generally supported data centers as part of an overall economic development strategy, appearing at the groundbreaking for a $10 billion Meta data center project in Lebanon, Indiana, earlier this year. “In Indiana, it’s clear we’re a very easy state to do business in, but the communities are going to have to approve it,” he said on Fox Business earlier this month, setting himself up as a champion of local communities and ratepayers. “In Indiana, if you’re coming in, you’re paying for all of the construction and the generation of electricity, and you’re going to put more electrons onto the grid, taking prices down,” he said.
Braun’s consumer-and-conservation-minded critics have taken aim at this exact claim in pushing for a pause on development.
“We are one of the three or four Ground Zero states for data center development. We’re extremely attractive to data centers,” Kerwin Olson, executive director of Citizens Action Coalition, told me. “That happened at the same time as bills skyrocketing.”
Olson pointed out that Indiana’s data center boom has come at the tail end of a series of controversial economic developments, including a proposed hydrogen hub, carbon capture and storage projects, and a proposed water pipeline. “Here comes Amazon, here comes Meta, Google, and all hell just broke loose,” Olson said.
Referring to Braun, Olson said, “We don’t doubt his sincerity about his concern about affordability. We disagree with him on these solutions that need to happen.”
Current conditions: Temperatures in Washington, D.C., are set to top 90 degrees Fahrenheit before approaching triple digits by mid week • In Taipei, temperatures north of 90 degrees are giving way to thunderstorms all afternoon • June’s “strawberry moon,” as the first full moon of the strawberry-picking season is known, rose last night.
The Department of the Interior has struck a deal with Duke Energy to pay the utility $129 million in exchange for abandoning a lease for an offshore wind project in federal waters off North Carolina. In a statement Monday, Duke’s chief executive in the Carolinas, Kodwo Ghartey-Tagoe, said the company would reinvest nearly all the money the federal government refunded into new generating capacity, “which may include advancing new nuclear and natural gas generation, and grid enhancements to strengthen reliability.” The announcement came less than two weeks after the Trump administration unveiled a $765 million deal with Invenergy to quash four proposed offshore wind sites, as Heatmap’s Emily Pontecorvo reported.
The Supreme Court on Monday ruled that the White House has the power to fire commissioners at independent agencies without showing cause, overturning a nearly century-old precedent and granting President Donald Trump new powers over the federal regulatory state. That, as Heatmap’s Matthew Zeitlin wrote yesterday, directly overhauls the historical separation of powers at the Federal Energy Regulatory Commission and the Nuclear Regulatory Commission, whose members the president appointed but whose culture of not answering to the White House directly created the appearance of being above short-term political concerns. “Agencies like FERC tend not to be as explicitly politicized or partisan as, say, the Environmental Protection Agency, which is led by a single administrator who serves at the pleasure of the president, or the National Labor Relations Board or Federal Election Commission, which oversee areas of law and policy with stark partisan and ideological stakes,” Matthew wrote. “This is partly because FERC justifies decisions on electricity and natural gas policy with reference to ‘technical expertise.’” In the near term, that won’t mean much since the current leadership of FERC and the NRC are closely aligned with the Trump administration. But in an era of eroding institutional trust, the new dynamic could eat away at the credibility of key regulators.
In Texas, regulators are weighing challenges to a transmission line from landowners who say the wires follow a route that unnecessarily intersects with their properties. In North Dakota, however, utility regulators last week passed that point, instead issuing a route permit for a controversial high-voltage transmission line in the eastern half of the state. Utilities first proposed the route for the 92-mile JETx line last summer. “This decision, as with any other decision, has to be based on the law, and then the record and the facts of the case,” Public Service Commissioner Jill Kringstad told the North Dakota Monitor.
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U.S. emissions surged 3.2% last year on the back of a 13% spike in coal-fired power generation, a sign of soaring demand for electricity. Still, solar offered a bright spot, growing by 28% last year. That’s all according to the latest data from the Energy Institute’s annual Statistical Review of World Energy. But the big takeaways were in fossil fuels. Among them: The U.S. remains the world’s top producer of oil and gas, and Canada has consolidated its positions as the world’s No. 4 driller of crude. As a result, “the center of gravity of global oil supply has structurally shifted,” Wafa Jafri, the British lead for energy and natural resource strategy at the accounting giant KPMG, said in a statement. “The Americas now produce 20% more oil than the Middle East, a shift that would have been unthinkable at the start of the century.”
Meanwhile, small-scale solar is making an impact in New York. New analysis by the Energy Information Administration shows that electricity demand falls midday in the state, a phenomenon the agency attributes to the rise of small solar installations in the state. The merits of distributed solar are even more obvious in places like Pakistan, where the grid is prone to going down. The country added a whopping 27 gigawatts of rooftop solar between 2023 and 2025, according to new data in PV Tech.
Just building intermittent renewables without storage is going out of fashion. Investment behemoth Brookfield Asset Management now says that contracts that pair new generation with battery storage are replacing pure renewables deals. In an interview with Bloomberg, Arnaud Jouvin, the head of Brookfield’s global energy strategy, said customers increasingly demand access to solar or wind systems with batteries. “There’s a lot of renewables being built in many markets, and the attractiveness of these renewable megawatt-hours in the middle of the day is declining to a point where many large offtakers no longer want standalone solar,” he said.

If the U.S. had hoped to secure the minerals it needs from Latin America instead of China, it may have to reconsider at least two Andean nations. Bolivia is in the midst of fierce protests and boycotts designed to thwart the new government’s efforts to develop a private mining industry. Now one of Ecuador’s mineral agencies has suffered a bomb attack. Early Monday morning, a bomb went off at the Quito headquarters of the country’s mining regulator, Arcom, blowing out several floors of windows.
Rob talks with Gigascale Capital’s Mike Schroepfer about how to make U.S. manufacturing better, cheaper, faster, and cleaner.
It has been a hard few years for climate tech. But we recently got a bright spot: Earlier this month, Gigascale Capital announced it had raised $250 million to build the physical infrastructure driving decarbonization. That was notable in part because Gigscale’s founder is Mike Schroepfer, Meta’s former chief technology officer, who has gone deep on climate tech since leaving the company in 2022.
On this episode of Shift Key, Mike joins Rob to discuss why Gigascale chose this moment to raise $250 million, what’s greenwashing (and what’s not) in AI, what the American manufacturing industry does better than China’s, and why Gigascale has not engaged in “climate hushing.”
Shift Key is hosted by Robinson Meyer, the founding executive editor of Heatmap News.
Subscribe to “Shift Key” and find this episode on Apple Podcasts, Spotify, Amazon, or wherever you get your podcasts.
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Here is an excerpt from their conversation:
Robinson Meyer: Where do you see that innovation happening in the hardware cycle? I mean, we’ve named SpaceX, obviously, but aerospace is, I think, kind of famously one of the last remaining sectors where China is still trying to catch up to Western firms in terms of cost competitiveness, in terms of sophistication. And then when we talk about, like, solar, it sounds like there’s a lot of cost to lose, but it’s still kind of piggybacking on the back of a fundamentally Chinese-dominated process. And obviously the Form Energy story is awesome, they have a great product, but also it’s — I’m not going to say it’s a one-off, but it does seem that they have this battery chemistry that is not related to the lithium-ion chemistry that nobody else has, and they’ve been able to get there first.
America is great at innovation, but we’ve struggled to convert that innovation over the past 10 years in the world of hardware into actually great products. And so, do you have a thesis about how that is going to change going forward, or where in the cycle we need to intervene, or where Gigascale can intervene to make sure that that innovation actually gets carried through into real products that that change the marketplace at climate level scales?
Mike Schroepfer: I mean, I guess I just fundamentally disagree with that statement. Let’s talk about some of the most valuable companies in the world, Nvidia and SpaceX. You know, Nvidia is still one of the world’s best. And I mean, you could say it’s manufactured at TSMC, but it’s fundamentally ... they’re designing a chip, you know. SpaceX is the only company that’s landing rockets every other week, and they’ve been doing it for a decade. Tesla really pioneered the electric vehicle, and I can go on and on and on. In terms of, you know, I built tens of millions of square feet of data center space. AI, the U.S. is still ahead, and AI, probably one of the most consequential technologies. Yes, the AI itself is software, but it’s on the back of massive infrastructure build. Where are all these data centers? They’re in the United States. That’s where all the training is happening, and that involves a bunch of infrastructure build.
Part of why I got into this was, I, you know, it’s reading all this stuff about how the U.S. and the West doesn’t know how to build anything anymore, and everything’s late and expensive. And like, we were out there building data centers, and I was like, these things are like plus or minus 3% on time, on budget, every single time — like, what the heck. And when I like looked at it, the thing everyone is missing is like, yes, when you make every project a special snowflake project, it’s a disaster. Every custom home ... even like electrical projects, right now, you know, if you go spec a transformer, it’s like, you hire an engineer and they write the specs, and they do a design doc, and they send it over, and like, why does this take forever? It’s because it’s like a custom bespoke wedding cake, basically every single time. It’s like, no, no, no, no. What’s the Costco sheet cake equivalent for transformers? I just roll in, and I’m buying them, you know, by the palette.
That’s what Heron Power is doing, is saying, like, no, no, we have a 5-megawatt transformer. It’s software controlled, so your voltages can be determined like at runtime. Cool, cool, you don’t need to custom-design this thing, and that’s an entirely different process. And that’s the way we build data centers, is like every single building looked the same from the sky. It was an L-shaped building, then we made an H-shaped building. It’s four data halls, and we would just like roll through and build the same thing over and over again. But Nvidia, part of the reason so valuable is like the, you know, same chip, basically with a couple small variants in my gaming PC is the thing that’s in my data center, but the core R&D was the same. And when we do that and we concentrate R&D and technical innovation, and then replicate the thing out, the U.S. is sort of unmatched in that.
You can find a full transcript of the episode here.
Mentioned:
Previously on Shift Key: What J.P. Morgan’s Chief Climate Advisor Is Telling Energy Startups
This episode of Shift Key is sponsored by ...
Heatmap Pro brings all of our research, reporting, and insights down to the local level. The software platform tracks all local opposition to clean energy and data centers, forecasts community sentiment, and guides data-driven engagement campaigns. Book a demo today to see the premier intelligence platform for project permitting and community engagement.
Music for Shift Key is by Adam Kromelow.