Refiant AI’s plan for curbing AI data centers’ surging energy demands isn’t more energy production, it’s shrinking AI models’ energy needs. The US and South Africa-based company is compressing large language models, radically cutting memory usage and allowing organizations to store data locally rather than on cloud-based service providers.
The company claims it has proven its capability with one AI model, reducing energy usage by more than 80% while preserving “near-identical quality.”
“AI adoption and sustainability commitments can co-exist, but only if the technology itself becomes more efficient,” said Refiant AI’s Mathew Haswell.
The company raised $5 million in a seed round led by Colorado-based climate tech investor VoLo Earth Ventures. VoLo is investing via its $135 million second fund.
Under pressure
Tech giants like Microsoft, Amazon and Google have come under pressure for their energy and water-guzzling data center infrastructure. This year Microsoft halted plans to develop US data centers that would have required two gigawatts of electricity (and is instead dialing up its AI infrastructure in India). Maine is set to become the first US state to implement a temporary ban, through 2027, on data center development.
