Zhi Tong Cai Jing·2025-09-17 13:24Core Insights - AI is driving the demand for data centers into a "long-term essential" phase, while short-term uncertainties in chip supply may hinder market growth [1][2] - The competition in the data center industry has shifted, with rapid delivery and green energy becoming critical factors for securing orders [10][11] Data Center Demand and Supply - Data centers are considered the "digital infrastructure" of the AI era, supporting high-power servers and massive computing needs for applications like large model training and industrial internet [2] - The power density of AI servers has increased significantly, with single rack power density rising from 4-6 kW to over 20 kW, leading to a substantial increase in electricity demand [2] - Short-term supply issues with advanced AI chips, such as Nvidia's H20, may slow down new order placements, but domestic chip manufacturers are rapidly advancing to fill the gap [2] Competitive Landscape - The ability to quickly deliver capacity is becoming a "pass" for securing orders, as clients are increasingly demanding timely responses amid supply chain uncertainties [10] - Reliable and low-cost renewable energy sources are becoming a key competitive advantage for third-party data center operators in China, aligning with carbon neutrality goals and controlling operational costs [11] Technological Advancements - Liquid cooling technology is becoming standard in AI data centers due to the high heat generated by high-power density servers, with three main cooling solutions being adopted [11][12] Investment Opportunities - Preferred investment targets in the domestic data center sector include Century Internet (VNET) and GDS Holdings (GDS), due to their advantages in capacity delivery and energy acquisition [11] - The long-term value of data centers is just beginning to emerge, as they are essential for AI innovations to move beyond conceptual stages [11]