Artificial intelligence is driving hyperscalers like Microsoft, Alphabet, Amazon, and Meta Platforms to invest $500 billion in data center expansion this year. This presents an opportunity for investors to look into pick-and-shovel stocks like Quanta Services, known for providing infrastructure solutions for power and energy worldwide. The surge in AI technology is projected to increase U.S. data center electricity usage by 133% by 2030, emphasizing the need for modernizing the grid. Quanta’s strategic acquisitions in the technology and semiconductor industries have bolstered its position, reflected in its record backlog of $39.2 billion as of Sept. 30.

As hyper-scalers continue to invest in data center infrastructure, Quanta Services remains a key player in modernizing the grid and providing power solutions for technology, renewable, and utility sectors. However, risk exists if AI growth does not meet expectations, leading to potential cutbacks in spending. The Motley Fool Stock Advisor’s top 10 stocks for investment do not currently include Quanta Services, emphasizing the importance of careful consideration before investing.

Read more at Yahoo Finance: Why This Power Play Could Ride the AI Data Center Boom Higher