Berkshire CEO Abel sees opportunity for energy business from AI

NEW YORK, Sep ‌2 (Reuters) - Berkshire ​Hathaway ​Chief Executive Greg Abel said on Wednesday he sees significant opportunities for ‌the conglomerate's energy business from the buildout of ⁠AI data centers, after Berkshire made Google parent ‌Alphabet its third-largest common ‌stock holding.

Speaking on CNBC, Abel said he viewed Google as a "significant player" in AI, a ​factor that prompted him and Berkshire Chairman Warren Buffett to authorize an additional $10 ⁠billion investment three months ago.

"We are all seeing and feeling the ​impact" of AI, Abel said.

Buffett initiated Berkshire's investment in Alphabet last year, ​though Abel took credit for ‌making the new investment at a 6.5% discount to Alphabet's stock price.

Abel ⁠said Berkshire's energy business could also benefit from AI growth, given the amount of electricity needed ⁠to run data centers. He estimated that in Iowa, ​where Berkshire Hathaway Energy is based, about 8% of its load came from data centers last year.

"I've ‌sort of always had the strong view that energy would be the ‌constraint," Abel said. "We do still see it ⁠as a significant ‌opportunity for Berkshire ​and Berkshire Hathaway Energy."

(Reporting by Jonathan Stempel in New York; Editing by Kirsten ‌Donovan)

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