This story appears in the July 2025 issue of Utah Business. Subscribe.
Artificial intelligence is rapidly disappearing from niche technology to mainstream needs. AI is ubiquitous due to the explosive popularity of tools such as ChatGpt and large investments from companies such as Amazon, Google, and Microsoft. However, beneath the surface of AI’s user-friendly interface and impressive features, a scalable infrastructure is urgently needed to support growth.
The demand for AI infrastructure is large because of the extremely high computational power required to handle complex algorithms and massive data sets. Troy Rydman, now Chief Information Officer and Chief Information Security Officer at Utah-based Packsize, is deeply familiar with the industry’s infrastructure needs. Prior to his role in Packsize, Rydman led a strategic security initiative with Amazon Web Services (AWS), helping some of AWS’ biggest clients securely integrate advanced technologies such as cloud computing and AI.
“The growth of AI doesn’t just require better software,” says Rydman. “We need energy-efficient processors, stable power grids, and safe and scalable data centers to handle the load.”
Utah has already invested heavily to meet this demand. Novva Data Centers, a Utah-based technology company, recently secured a $2 billion investment to complete a massive “supercluster” campus in West Jordan. Similarly, Meta continues to expand its data center operations at Eagle Mountain. To ensure reliable high-speed internet, Comcast is investing $138 million in textile expansions throughout the state.
Rydman points out that Utah’s existing infrastructure may not yet reach this massive job.
“Many of these changes need to push more power to critical infrastructure and data centers,” he says. “I don’t think our power grid fits those specifications.”
This new infrastructure requires a huge amount of energy. For example, one data center campus, located only in Eagle Mountain, requires 1.4 gigawatts than Wyoming’s current use. Recognizing this urgency, Utah recently introduced Operation Gigawatt, an ambitious initiative aimed at double the statewide energy production over the next decade, focusing on clean energy sources such as geothermal and next-generation nuclear weapons.
Nationwide, big tech companies such as Amazon and Microsoft are investing directly in generating themselves. Amazon has allocated more than $500 million to develop small modular nuclear reactors in Washington, Virginia and Pennsylvania, with the aim of providing clean energy to data centers. Similarly, Microsoft has concluded a 20-year agreement to purchase electricity from facilities on 3 Mile Island to ensure a stable energy supply for its AI-powered business.
Still, the expansion of Utah’s infrastructure has brought great economic promises, with Rideman seeing unique opportunities in local entrepreneurs, especially in the niche AI market.
“There may be opportunities to create pre-computed models for smaller use cases and save time and energy costs,” he says. “We seem to have the right skill set to come out of school, and the Utah entrepreneur vibe is perfect for this.”
Ultimately, Rydman believes that generator AI will become as routine as streaming services. As Utah positions itself to accelerate the future of AI, the state’s proactive approach could be a blueprint for balanced growth and drive innovation while protecting critical resources and infrastructure.
