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Get ready for the gold rush

April 17, 2024 by Alistair Enser

Register for one of our roadshows in March, listed below, and find out how.


As we get used to the idea of using AI in business, across society and in our private lives, some of the practicalities of a technology so transformative that it has been described as similar to the invention of electricity are coming to the fore.

Ironically, one of the concerns aired by Elon Musk last week is that, at its current level of growth, “AI will run out of electricity and transformers in 2025.”

While the chip shortage may be largely behind us now, and the role of synthetic data is helping developers to get around the shortage of large data sets on which to train AI, a potential new shortage has been identified: electricity itself.

Head for the hills

Musk believes that: “the artificial intelligence compute coming online appears to be increasing by a factor of 10 every six months… I’ve never seen anything like it. The chip rush is bigger than any gold rush that’s ever existed.”

To put this in context, Moore’s Law, first identified by Gordon Moore in 1965, states that the number of transistors in an integrated circuit (IC) doubles about every two years. Over the years, the law has come to reflect computing power itself and not just transistors in an integrated circuit. Musk believes that AI computing power is now increasing tenfold every six months. That’s a 4,000% increase in power compared to Moore’s 100% over the same period!

The challenges this will create is why Musk now predicts pinch points in the supply of clean electricity, and the transformers required to step down power for use by AI. There is also the need for water, however, as research suggests one medium-sized data centre uses as much water as three medium-sized hospitals.

An uninterruptable power supply

Can these challenges be overcome? Demand for AI will, in my opinion, ensure they are indeed addressed, for no-one wants the ‘lights to go out.’ Indeed, as more and more of our systems rely on AI, ensuring they remain operational will be a key priority for governments, businesses and consumers alike.

What’s more, great commercial opportunity rests in creating the infrastructure required for AI, and will help ensure there is enough infrastructure to support AI computing. Think of Nvidia and its chips as the shovels that powered the Klondike Gold Rush at the end of the nineteenth century. On the brink of becoming a two-trillion dollar company, Nvidia’s stock is up 1,904% over the past five years.

In fact, another stock outperformed Nvidia, the current darling of the financial markets, over that time. Super Micro Computer’s shares increased by 4,175% over the same period. The firm creates much of the infrastructure that sits behind the cloud and powers AI computing.

It all comes back to the cloud!

As I have written before, moving security solutions to the cloud is the way that organisations can gain the wider benefits of AI and obtain value beyond security itself. The move to the cloud – in part, or wholesale – is now unstoppable, and it’s the subject of pretty much every conversation I have with users nowadays.

To this end, Reliance High-Tech is holding two free to attend seminars for security users who want to understand how the cloud can transform their systems and deliver ‘value beyond security.’

These ‘ticket only’ events will provide attendees with a unique opportunity to learn about the latest advancements in cloud-based video surveillance, access control, and the transformative power of AI in security.

I look forward to hosting the days and introducing Reliance High-Text experts in integrating cloud services, as well as two of our technology partners: cloud security expert, Eagle Eye Networks and cloud-based access control specialists, Brivo.

Secure your place at our Technology Seminars

The first event, on 14 March at Moorgate in London, starts at 13:00 hrs with presentations and culminates with virtual clay pigeon shooting. The second event, on 21 March, at the National Football Museum in Manchester, has a 14:00 hrs start time, and Reliance has organised a private tour of the museum for all participants.

The event is open to end users and security consultants, with delegate numbers strictly limited via pre-registered ticket only. To request a ticket, or to obtain further details of the full agenda and speaker list, please register your interest for your chosen event at: https://events.reliancehightech.co.uk/events.

Alternatively, e-mail Reliance High-Tech at info@reliancehightech.co.uk.I look forward to seeing you there and showing how you can’t afford to be left behind in the Gold Rush!