Bernstein's Chad Dillard on looking outside AI for AI winners

Summary

Bernstein senior analyst Chad Dillard discusses how AI buildout bottlenecks around power and labor create hidden AI-infrastructure opportunities. He highlights high-voltage transmission and 800-volt data center power as an underappreciated route through Quanta Services and Eaton. He also points to modular fabrication as an emerging, under-the-radar solution benefiting Eaton and Legent. Dillard says the data center pipeline has roughly tripled to 300 gigawatts while delays and cancellations have remained stable near 11%.

• Chad Dillard views power and labor as the main AI buildout bottlenecks.
• Raising voltage via high-voltage transmission and 800-volt data center systems is an underappreciated power solution.
• Quanta Services is described as an 800-pound gorilla in power lines.
• Eaton is highlighted for 800-volt positioning and modular fabrication tailwinds.
• Legent is cited as an under-the-radar EPC and fabrication play.
• The data center pipeline has tripled to about 300 gigawatts, while stranded capacity remains about 11%.
• Dillard argues investors should position where AI buildout bottlenecks are.