Goldman Sachs: AI opens a new turning point in European electricity consumption. Utility giants are facing a wave of "valuation expansion".

Goldman Sachs released a research report stating that undervalued European utility giants focusing on electricity supply and water resource supply networks will greatly benefit from the unprecedented global AI boom and the ongoing trend of electrification for many years. Goldman Sachs said that over the past fifteen years, Europe's electricity demand has been severely impacted by external factors, with electricity consumption falling by about 10% since 2008; however, Goldman Sachs predicts that this trend is about to fully reverse: the rapid expansion of data centers and the gradual acceleration of electrification processes could push European electricity demand to increase by at least 40%-50% in the next decade.