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Tag: artificial intelligence

  • Securing the AI Boom in the Americas

    Securing the AI Boom in the Americas

    The data center market in the Americas is no longer just growing. The AI boom is surging at a pace that is fundamentally altering the global digital landscape. According to recent industry analysis from Business Facilities, the Americas have solidified their lead as global data center capacity explodes. This lead is largely driven by the unrelenting demand for Artificial Intelligence (AI) and high-performance computing (HPC).

    As of 2025, the U.S. remains the epicenter of this expansion. Northern Virginia, the world’s largest data center market, saw under-construction capacity jump by 80% in the first half of 2025 alone (CBRE). However, this rapid growth brings two critical challenges that threaten to stall the AI revolution. Unprecedented energy demand and the silent degradation of cooling infrastructure.

    At Coat Zone, we believe that the key to sustaining the AI boom isn’t just about building more. It’s about protecting and optimizing what we already have.

    The Energy Paradox: AI’s Massive Cooling Appetite

    Data centers are among the most energy-intensive facilities on Earth. In 2024, data centers consumed approximately 183 terawatt-hours (TWh) in the U.S. alone—roughly 4% of the country’s total electricity (Pew Research). By 2030, this demand is projected to grow by 133% to 426 TWh.

    The “energy hog” in the room is cooling.

    • The Cooling Tax: Cooling systems are the second-largest energy consumer in a data center. They account for 30% to 50% of total energy use in less-efficient enterprise facilities (IEA/Coat Zone).
    • The AI Multiplier: AI-focused servers generate significantly more heat than traditional servers, requiring 2 to 4 times the power and, consequently, a massive increase in cooling capacity to prevent catastrophic hardware failure.

    When cooling efficiency drops even by a small percentage, the Power Usage Effectiveness (PUE) of a data center skyrockets. This drop leads to millions of dollars in wasted operational expenditure (OpEx).

    The Corrosion Threat: A Silent Saboteur of Uptime

    While power grids struggle to keep up with demand, environmental factors are attacking the very machines designed to provide relief. Corrosion is a primary cause of HVAC failure, responsible for nearly 40% of equipment failures in industrial settings (CED Engineering).

    In data center hubs—ranging from the humid corridors of the East Coast to industrial zones in the Midwest—cooling coils are under constant attack from:

    • Salt Air & Humidity: Accelerating the oxidation of aluminum and copper.
    • Pollutants & “Electrolytes”: Gaseous contaminants that cause pitting and “formicary” corrosion, which can lead to refrigerant leaks and total system failure in less than a year.
    • Thermal Stress: Constant 24/7 operation at high loads accelerates the mechanical degradation of the bond between HVAC fins and tubes, reducing heat transfer by 15–20% over just five years (IRE Journals).

    Re-Engineering Resilience for the AI Boom

    To meet the goals of the “Americas-first” data center expansion, facilities must shift from a “replace-on-failure” mindset to a “protect-and-optimize” strategy. Coat Zone’s dual-coating approach provides a high-impact, low-cost shield for the infrastructure powering the AI boom:

    1. CoilSafe® & CoilSafe Plus® (Internal Protection): These ultra-thin (8–10 micron) inorganic coatings bond covalently to HVAC coils. Unlike traditional thick coatings, they do not impede heat exchange. By preventing corrosion and “fouling” (the buildup of dirt and microbes), CoilSafe can improve HVAC efficiency by up to 10% and maintain near-factory performance for the life of the unit.
    2. ThermalBlock™ (External Defense): Applied to exterior cabinets and rooftop ductwork, ThermalBlock acts as a radiant barrier that blocks up to 93% of solar heat. By keeping the unit’s cabinet temperature within 10°F of ambient air, it drastically reduces the “thermal load,” allowing the system to run less frequently and consuming significantly less kWh during peak demand.

    Sustaining the AI Boom with ROI

    As Business Facilities highlights, the Americas are leading the charge in capacity, but that leadership requires a foundation of efficiency. Integrating Coat Zone’s coatings can:

    • Reduce cooling energy consumption by 15–30%.
    • Extend the useful life of assets by 50% or more, deferring massive capital expenditures.
    • Deliver a rapid ROI, typically within 12 to 36 months.

    The future of AI is being built today. By protecting the cooling infrastructure that keeps these digital brains alive, Coat Zone is helping ensure that the surge in capacity is matched by a surge in resilience.

    Sources:

  • Beyond the Grid

    Beyond the Grid

    Why Data Center Location Is the Ultimate High-Stakes Decision

    The modern world runs on data, and data runs on data centers. These digital factories are the most important industrial real estate of our time. When a company decides where to plant one of these multi-million, sometimes multi-billion, dollar facilities, it is one of the most consequential decisions they will ever make.

    A data center’s location is not a simple choice. The choice is a high-stakes calculation that balances risk, cost, and access to essential resources. As Artificial Intelligence (AI) and cloud computing explode, the demands placed on these facilities are higher than ever, pushing site selectors into challenging geographic areas.

    For builders and operators, understanding the core factors driving these location choices is critical—and so is preparing the HVAC infrastructure to survive the inevitable environmental trade-offs.

    The Unholy Trinity: Three Non-Negotiable Data Center Location Selection Factors

    The process of choosing a data center site is a game of compromise. There are three core factors that are non-negotiable for success [1, 2].

    1. Power: The Unquenchable Thirst 

    The most important factor is the availability of reliable, affordable, and sustainable power. Data centers, particularly those supporting AI and high-performance computing, are massive consumers of electricity. A typical cloud data center can consume the power of tens of thousands of homes.

    • Why it’s essential: Without a stable, redundant connection to an affordable grid, the center cannot operate profitably or reliably. The demand for low-carbon energy also pushes operators toward regions with abundant renewable resources like hydro, wind, or solar power [5].

    2. Connectivity: The Fiber Lifeline 

    A data center is useless if it’s not connected to the internet’s global nervous system. Site selectors prioritize proximity to major fiber optic routes and internet exchange points to ensure low latency (the speed at which data travels).

    • Why it’s essential: For applications ranging from financial trading to streaming, a delay of milliseconds can mean failure. High-quality, redundant, and diverse fiber access ensures the data center can serve its customers efficiently and remain operational if a single line is cut [2, 4].

    3. Risk and Resilience: Battling Mother Nature 

    Power and connectivity draw data centers to densely populated or resource-rich areas. However, the need for resilience pushes them away from high-risk zones. Locations prone to natural disasters, such as earthquakes, hurricanes, or floods, are often avoided [3].

    • Why it’s essential: Downtime is catastrophic. A strong location strategy requires mitigating physical risk, including avoiding sites near flight paths, chemical plants, or known fault lines [4].

    The Unavoidable Trade-Off: Data Center Location Risk

    In the pursuit of low-cost power and fiber access, data centers are often forced to choose locations with unavoidable environmental challenges. A prime example is the trend of building in coastal regions (for transatlantic fiber) or near hydro-power dams (for cheap energy).

    These strategic choices expose critical HVAC systems to major threats that undermine efficiency and reliability:

    1. High Humidity and Condensation: Coastal locations or those with aggressive cooling strategies (like using large amounts of evaporated water) result in high ambient humidity. This promotes condensation on cold surfaces like cooling coils, ductwork, and air handling unit casings. This moisture is the breeding ground for mold and corrosion [3].
    2. Airborne Contaminants: Locations near industrial centers or coastlines introduce corrosive elements (like salt spray or industrial pollutants) into the cooling air stream. These contaminants attack unprotected metal surfaces, leading to micro-organism growth, fouling, and ultimately, system failure.

    The data center faces premature equipment failure, reduced thermal transfer efficiency (leading to higher energy bills), and a compromised indoor environment if the negative factors aren’t addressed.

    Coating the Core: Mitigating Location Risk with Coat Zone

    Coat Zone’s specialized protective coatings are engineered to directly counter the environmental damage from strategic location choices. They help ensure the HVAC infrastructure lives as long as the digital infrastructure it serves.

    CoilSafe and CoilSafe Plus: Protecting the Heart of Cooling

    The most vulnerable component in any data center is the cooling coil because it is constantly exposed to the air.

    • How they help: CoilSafe and CoilSafe Plus create a durable, ultra-thin barrier that is antimicrobial and highly resistant to environmental corrosion. In coastal or industrial environments salt and pollutants accelerate coil degradation. Our coatings prevent fouling and microbial growth (mold and bacteria) that would otherwise compromise both air quality and thermal transfer. CoilSafe and CoilSafe Plus maintain peak thermal efficiency to directly support continuous, affordable cooling.

    ThermalBlock: Stopping Condensation and Corruption

    Applied to the exterior of air handling units, chilled water piping, or plenum surfaces, ThermalBlock addresses the solar heat load challenge head-on.

    • How it helps: ThermalBlock acts as a superior thermal barrier, blocking up to 93% of solar heat, instantly reducing surface temperatures to within 10°F of the surrounding air, even in peak summer conditions.

    The decision on where to place a data center can be driven by fiber and power. But, the resilience of that investment is determined by the protective measures taken against the chosen location’s environment. Coat Zone ensures that the essential cooling systems, the very lungs of the data center, are protected and optimized, no matter where they are built.

    Sources:

    1. Does it Matter Where My Data Center is Located? DataCenters.com. https://www.datacenters.com/news/does-it-matter-where-my-data-center-is-located
    2. How Important Is Location When Choosing a Data Center? Data Center Knowledge. https://www.datacenterknowledge.com/data-center-site-selection/how-important-is-location-when-choosing-a-data-center-
    3. Data Center Location Strategy: The Key Considerations. TierPoint. https://www.tierpoint.com/blog/data-center-location-strategy/
    4. 5 Considerations for Choosing Data Center Locations. Equinix Blog. https://blog.equinix.com/blog/2024/08/06/5-considerations-for-choosing-data-center-locations/
    5. AI Data Centers: Which Factors Determine Their Location? American Action Forum. https://www.americanactionforum.org/insight/ai-data-centers-which-factors-determine-their-location/
  • Efficiency is the New Grid Resilience

    Efficiency is the New Grid Resilience

    Powering Through the Perfect Storm

    The electric grid, the very backbone of our modern lives, is facing unprecedented challenges. We rely on a complex network of power lines and substations that were built for a different era, with different demands. Today, as new economic realities and technological shifts take hold, that aging infrastructure is straining under the weight of a perfect storm of factors. The good news is that we don’t have to wait for the storm to break. By embracing smart, targeted energy efficiency solutions, we can strengthen grid resilience and secure a more resilient energy future.

    The Unintended Consequences of Fiscal Policy on the Grid

    The recent passage of the federal budget has significant, if unintended, consequences for the power sector. As Eran Inbar highlights in his article for T&D World, much of the public discussion has focused on its impacts on renewable energy. However, the bill also directly targets funding for essential transmission upgrades. The budget claws back unspent funding from the Infrastructure Facilitation Program and defunds the $3 billion Electric Transmission Facilitation Program, a Department of Energy (DOE) financing initiative designed to accelerate new transmission construction. These moves, along with the redirection of hundreds of millions in EPA and DOE grants, increase the burden on utilities and, in turn, their ratepayers.

    These changes are particularly problematic given existing grid needs. Forecasts show that transmission development needs to triple just to meet current demand. With this new law, energy investment is projected to drop by as much as half a trillion dollars by 2035. This change could also increase wholesale costs by 74% and decrease overall grid reliability. The impact on renewable projects is also significant, as the bill phases out investment and production tax credits. This puts immense pressure on developers to complete projects within a compressed 2.5-year deadline created by the new policy.

    The strain on the grid is further compounded by the rapidly growing demand from emerging technologies. The rise of AI and the proliferation of massive data centers are creating an exponential increase in energy consumption. These facilities require vast, consistent power supplies to operate, placing an additional tax on an already stressed system. We are at a crossroads. Either we undertake a multi-trillion-dollar overhaul of the entire electrical infrastructure, a costly, time-consuming, and politically fraught endeavor, or we find more innovative, more immediate ways to reduce the demand and enhance grid resilience.

    Efficiency: The Key to a More Resilient Future

    The path forward lies in energy efficiency. Rather than focusing solely on increasing supply, we must focus on reducing demand. This approach is not just a temporary fix; it’s a foundational principle for building a more resilient energy ecosystem. By optimizing the equipment we already have, we can significantly reduce the load on the grid without massive capital investment or years of construction.

    This is where Coat Zone comes in. We believe that empowering businesses to achieve energy efficiency is the fastest, most effective way to bolster energy security. Our proprietary coatings offer a low-cost, high-impact solution that can be applied to your existing HVAC equipment, helping you run more efficiently with an extended lifespan and build grid resilience.

    Coat Zone’s Dual Approach to Efficiency

    Coat Zone’s products, CoilSafe®, CoilSafe Plus®, and ThermalBlock™, work together to optimize your HVAC systems. CoilSafe® and CoilSafe Plus® are liquid, glass-like coatings applied to internal evaporator and condenser coils. They are 40 times thinner than traditional coatings, allowing them to restore coil performance and improve heat exchange without impeding airflow. They prevent corrosion and dirt buildup, helping coils maintain near-original efficiency for years.

    The second part is ThermalBlock™, a thermal radiant barrier applied to the exterior cabinets of rooftop HVAC units. This coating blocks up to 93% of solar heat. It significantly reducing the unit’s operating temperature to within a few degrees of the ambient air. By lowering the thermal load, ThermalBlock™ helps your system run less, reducing run time and energy consumption.

    This dual approach provides a powerful combination of benefits:

    • Reduced Energy Consumption: Our solutions reduce overall cooling energy consumption by 15-30%.
    • Lower Costs & Rapid ROI: A single application of our coatings is a fraction of the cost of a complete system overhaul, with a typical return on investment in just 12-36 months.
    • Extended Equipment Lifespan: By preventing corrosion and reducing heat loads, our coatings can help extend the useful life of a unit by 50% or more, deferring costly replacement cycles.

    As the US federal budget shifts and new pressures from AI and data centers continue to mount, the need for a pragmatic, cost-effective solution to improving grid resilience has never been more urgent. Instead of waiting for a grid-wide disaster, businesses can take action today. By choosing to optimize existing equipment, you not only improve your bottom line but also play a critical role in strengthening the very foundation of our energy future.

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    Citations

    Eran Inbar. “One Big Beautiful Unintended Consequence: OBBB’s Impact on Grid Operations.” TD World, 19 August 2025, https://www.tdworld.com/policy/blog/55310527/one-big-beautiful-unintended-consequence-obbbs-impact-on-grid-operations.

    McKenna Peplinski and Nicholas Roy. “If/Then: Unintended Effects of Recent Federal Actions on Electricity Prices.” Resources for the Future, 7 August 2025, https://www.resources.org/common-resources/if-then-unintended-effects-of-recent-federal-actions-on-electricity-prices/.

  • AI Energy Consumption and the Need for Sustainable Solutions

    AI Energy Consumption and the Need for Sustainable Solutions

    The rapid expansion of artificial intelligence (AI) infrastructure demands significant energy. A recent Deloitte report suggests that U.S. power demands from AI data centers could grow over thirtyfold by 2035. The exponential growth of AI energy consumption puts immense strain on our electrical grids. Therefore, finding sustainable energy solutions is critical. The AI revolution is not just a technological one; it is also a fundamental shift in our energy landscape. This shift requires a new perspective on power consumption.

    Understanding the Challenge: The Energy-Hungry AI Ecosystem

    AI and data centers consume huge amounts of power. Much of this energy goes to cooling systems. Generative AI is especially energy-intensive. Goldman Sachs estimates that AI energy consumption will drive a 165% increase in data center power demand by 2030. Consequently, data centers must become more efficient. The American Society of Civil Engineers (ASCE) has given U.S. energy infrastructure a D+ grade. This infrastructure cannot support the current rate of electrification and AI growth. Furthermore, the sheer volume of data being processed is staggering. Training a single large language model can consume as much electricity as a small town over several months. Moreover, the computational demands of AI inference—using the models—are also considerable. As a result, the energy challenge is not a future problem; it is a present reality. The cooling requirements alone present a monumental hurdle.

    Coat Zone’s Targeted Solutions for HVAC Efficiency

    Coat Zone offers a solution to encourage sustainable AI infrastructure. Our products target the core of the problem: inefficient HVAC systems. First, CoilSafe and CoilSafe Plus protect HVAC coils. They create a covalent bond, which strengthens the connection between the fins to the copper tubing. This process returns or keeps the unit to near original factory efficiency. Because of this, units run less often. This directly translates to lower electricity bills and less strain on the grid. This is not a temporary fix; it is a permanent restoration of performance. Second, our ThermalBlock coating works on HVAC exteriors. It acts as a thermal barrier, blocking up to 95% of the sun’s solar heat. This significantly reduces the temperature of the unit’s cabinet. As a result, the unit doesn’t have to work as hard to cool itself. ThermalBlock is a passive, yet incredibly effective, solution. It reduces the need for constant mechanical cooling, providing immediate energy savings. Both products address the root causes of HVAC inefficiency. They are designed to work together to maximize energy savings.

    A Solutions-Focused Approach for a Sustainable Future

    Coat Zone’s products provide a two-pronged solution to counterbalance AI energy consumption. They increase system efficiency while simultaneously reducing thermal load. Our coatings can lower cooling energy consumption by 15-30%. Furthermore, they can extend a unit’s useful life by 50% or more. Thus, our products not only save energy but also reduce capital expenditures. They offer a direct, impactful way to combat the rising energy demands of modern technology. Ultimately, our goal is to provide sustainable, long-term solutions. We empower businesses to manage their energy consumption effectively. Our technology represents a proactive step toward a more sustainable and resilient energy future. The time to act is now, and efficient infrastructure is our best defense. The transition to a clean energy economy depends on these kinds of innovative solutions.

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