Emily Flippen

I'm just a stone's throw away from Northern Virginia.

It's ground zero for data center in the United States.

CBRE has recently released reports noting that data center vacancies are at all-time lows in the second half of 2025.

Many big customers

are pre-leasing out capacity into 2027 and beyond.

For the people living nearby, this means higher electricity costs and data centers obviously require massive amounts of power to run.

That's some of the backdrop.

Dan, I want to start with the capacity.

I think investors' minds often immediately turn to the fear that the data centers that we see so far have actually been overbuilt.

That's given the narrative that we talk about a lot around fears around an AI bubble.

But the information that we have that I just indicated, I mean, that only shows that demand has continued to outstrip supply.

How does that build out look to you today?

Yeah, there's kind of two parts to that equation.

There are the people who need the capacity in order to fund operations, to fund the queries and the training that we talked about.

And there's also the people who are actually funding the projects themselves, who are offering capital.

You need both part of those equations to make that work.

And so far, we haven't seen cracks happening on either side of those equations.

But that doesn't mean that there hasn't been public pushback just from the peoples whose daily lives have been impacted from these expansions and others.

That build-out that is happening and continues to happen, as Dan mentions, it has massive implications for things like energy consumption.

The IEA projects that global energy consumption for data centers alone will double by 2030.