Odd Lots · Saturday, September 12, 2026
The rapid advancement of AI technology, while promising, presents a significant challenge due to its immense energy and critical raw material requirements. Robert Friedland explains that AI searches consume vastly more energy than traditional internet searches, and the specialized metals needed for AI development, such as gallium and scandium, are primarily sourced from China, creating national security risks.
“Now, when you do an AI search, and I use ChatGPT4, and we're using Cloud, and you do an AI search, you're using 30 times more electrical energy.”
“And so instead of the food pyramid that the Army, Navy, and Air Force relied on in those days, it was stuff like coal and oil. And yeah, they had a little bit of copper in the old food pyramid. Today, it's what we call critical raw materials.”
“And all of them are developed by China. They're not found here in the United States.”