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Home > Opinion

The Dawn of the AI Revolution Unfolds in Western Pennsylvania

KO YONG-CHUL Reporter / Updated : 2025-05-23 03:35:27
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The Heart of America's Industrial Revolution Now Leads the AI Era
Perfect Harmony of Energy, Technology, and Talent Opens New Industrial Horizons

The Homer City Generating Station, once Pennsylvania's largest coal-fired power plant, stands majestically at the western foothills of the Allegheny Mountains. This site, now shedding its past glory, is transforming into a hub of future industry, symbolizing Western Pennsylvania's emergence as the epicenter of the artificial intelligence (AI) revolution. The energy and know-how that once drove the Industrial Revolution are now serving as the new power for the AI era, placing this region at another historical turning point.

 
An Energy Giant's AI Vision: EQT's Toby Rice, CEO

In Carnegie, a middle-class town named after the famous industrialist Andrew Carnegie, the second-floor office of Toby Rice, CEO of EQT Corp., is so unassuming it's hard to imagine it belongs to the head of America's largest independent natural gas producer. The only clue that this former karate studio, located on a street next to a pub, is the right place is a sign on the door that reads "Shallenial." Ascending a narrow staircase reveals an unexpected scene: a seven-foot-tall gorilla sculpture (the gorilla is a theme here, even appearing in Andy Warhol's work), neon signs emblazoned with "Bold Moves Only" and "Profits & Purpose," and a foosball table nestled among drafting boards. A large "Don't Tread on Me" flag and an American flag also catch the eye.

With silkscreen prints of American industrialists like Carnegie facing him, Rice pulls up a mid-century turquoise chair. Business is booming at EQT Corp., America's largest independent natural gas producer, and it's about to get even busier. The reason: the burgeoning regional industry, artificial intelligence (AI), which absolutely needs Appalachian energy.

"The scale of this is truly enormous," Rice states, "I'm hearing that AI's power demand is estimated to be 50 to 75 gigawatts (GW). That's equivalent to the power needed to run 10 to 15 New York Cities." The advancement of AI technology demands immense computing power, which in turn requires vast amounts of electricity. Natural gas is emerging as a critical energy source to meet this demand, and companies like EQT are expected to play a pivotal role in this new market.

 
The Homer City Power Plant's Transformation: From Coal to AI Data Center

Precisely 47 miles east of Carnegie, Shawn Steffee, business manager for Boilermakers Local 154, stands across the road from the Homer City Generating Station, once Pennsylvania's largest coal-fired power plant. Behind him looms a green mountain made of ash from the former coal plant, now in the midst of a vigorous transformation into a natural gas-powered AI data center. EQT is expected to be one of several natural gas suppliers to support this project.

"I said it once and I'll say it again, I don't know a thing about AI, but boilermakers and construction workers know how to build power plants, whether it's nuclear, gas, or coal," Steffee emphasizes. This suggests that in the AI era, not only new tech experts but also skilled laborers from traditional industries will play crucial roles.

Last month, the demolition of Homer City Generating Station's smokestacks seemed to extinguish the hopes of the small town and nearby Indiana County. But a week later, the newly established Homer City Redevelopment announced that the power plant site would be redeveloped into a $10 billion (approximately 13.7 trillion KRW) AI and data center. This includes a massive on-site natural gas power plant, set to be one of the largest capital projects in Pennsylvania's history.

Currently, the project is already well underway. The site is expected to create over 10,000 construction jobs, along with 1,000 direct and indirect permanent jobs for scientists, engineers, AI managers, physicists, and chemists – the classic foundation of the American workforce. This signifies not just economic stimulus, but a meaningful shift where traditional industry jobs are transitioning into new opportunities within the future technology sector.

 
Pittsburgh: A Hub of AI Research and Innovation

Between Homer City and Carnegie lies Pittsburgh, where Joanna Doven's new Bakery Square office is located. This area is situated on a newly established 'AI Avenue,' close to the University of Pittsburgh and Carnegie Mellon University. These two institutions are renowned for producing some of America's top talent in the field of artificial intelligence.

Carnegie Mellon University boasts a history of developing the world's first AI computer program in 1956 and is currently regarded as one of the top universities globally in AI. It plays a leading role in various AI research areas, particularly machine learning, robotics, and natural language processing. In February 2025, it further strengthened international research collaboration by opening the 'Human-Centered AI Research Center' in partnership with Seoul National University.

The University of Pittsburgh has gained renown for its groundbreaking inventions in the medical and biomedical fields utilizing AI. Recently, it has further solidified its position in medical AI, collaborating with Leidos, a U.S. IT-based technology solutions company, and investing $10 million in developing AI technology for early disease diagnosis.

Years ago, Doven foresaw that Western Pennsylvania, with Pittsburgh at its core, would become the center of the AI revolution. While local politicians often remained lukewarm about natural gas-related ventures, the connection between the research and innovation stemming from the University of Pittsburgh and Carnegie Mellon University, coupled with the abundant energy resources to support it, was clear to Doven. Consequently, she gathered leaders from industry, academia, healthcare, and labor unions to form an AI strike team, aiming to position the region to lead the AI revolution, with its base in Pittsburgh's 'Tech Alley.'

"Our roots are in building difficult things, from steel to robots. That perfectly matches what's required now," Doven says. This suggests that Western Pennsylvania's strong industrial foundation and technological expertise, built during the past Industrial Revolution, will serve as new strengths in the AI era.

 
The Coming AI Boom: Western Pennsylvania's Resurgence

Western Pennsylvania is key to America's next industrial revolution, driven by the same combination of energy, grit, and expertise that made it the center of the first. We've experienced this transformation before. In 1859, when Edwin Drake discovered oil in Titusville, 100 miles north of Pittsburgh, it was a turning point that transformed America from an agricultural society into an industrial one, starting with the oil boom and propelled by the modern petroleum industry.

Before Drake's discovery, the U.S. relied on whale oil and coal. His find gave rise to the world's first oil production companies, like John D. Rockefeller's Standard Oil. This, in turn, spurred demand for new machinery and tools, leading to a boom in the steel and iron industries, and ultimately spawned other industries, transportation systems, technologies, and factories. This ushered in a period of rapid change that fueled the growth of cities and towns nationwide.

Today, Western Pennsylvania is poised to reclaim its past glory and lead as a pioneer in the AI era. The redevelopment of the Homer City Generating Station is a prime example symbolizing the region's potential, and the research capabilities of its universities, coupled with abundant natural gas resources, will provide a strong foundation for the growth of the AI industry. Beyond mere technological innovation, this region is expected to present a new model for success in the AI era by revitalizing traditional industries and creating new jobs, pursuing sustainable development. Western Pennsylvania's future is bright, and the AI revolution unfolding here will have a significant impact on the industrial landscape not just in the U.S. but globally.

[Copyright (c) Global Economic Times. All Rights Reserved.]

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