Ford’s pivot to battery storage for AI data centers could diversify revenue beyond autos and EVs amid rising power demand.
Ford Motor Co (F) is targeting the artificial intelligence infrastructure sector by developing energy storage solutions for data centers. The move aims to reduce reliance on traditional auto valuation metrics like vehicle sales and EV losses, which have pressured its stock.
Data centers’ electricity consumption is projected to quadruple to 945 terawatt-hours by 2030, accounting for nearly 3% of global usage, per the International Energy Agency. Annual growth in power demand is forecast at 15% through 2030, creating a new market for energy storage.
The shift follows surging demand for AI chips, led by Nvidia (NVDA), and increased data-center spending by cloud providers. Ford’s battery business could position it as a key supplier in the AI power supply chain.