Elon Musk says the AI boom will hit a WALL by the end of 2026.

He says the whole industry is about to learn a hard lesson in hardware.

Chip output is exploding, but electricity is nearly flat everywhere outside China.

So the two lines cross this year.

He says by the end of the year, we will be making more AI chips than we can actually turn on.

Millions of them pile up with nowhere to plug in.

In his words, the bottleneck for the next year is not chips, it is raw power.

Whoever can turn on the most chips fastest wins the race.

In the end, the AI race comes down to one thing:

Raw electricity.

— Elon Musk (.@elonmusk) on Dwarkesh Patel's (.@dwarkesh_sp) podcast