Venture Global signs GE Vernova and Baker Hughes deals to power AI data centers

What did Venture Global announce?

Venture Global (NYSE: VG) said it signed agreements with GE Vernova (NYSE: GEV) and Baker Hughes (Nasdaq: BKR) covering new power generation units.

Why it matters: The units are meant for the company's private power network, which runs separately from the public electric grid.

Venture Global said that network could supply electricity to AI computing sites it owns or controls. These sites, often called data centers, house the servers that run artificial intelligence software.

How did the shares trade?

Venture Global shares tumbled 5.8% on Thursday to close at $12.50. The company lost about $410 million in stock market value.

GE Vernova slid 1.6%, and Baker Hughes lost 1.8%. A fund that tracks energy stocks fell 1.6%. The S&P 500 rose 0.3%.

The reports available gave no specific reason for the declines. Broad weakness in energy shares may have weighed on the stocks.

Why does power matter for AI?

AI computing sites use large amounts of electricity, and they need it around the clock.

A network that does not depend on the public grid could let Venture Global control its own supply, based on the company's description.

For GE Vernova and Baker Hughes, the agreements add to demand for the power equipment they make.

What comes next?

What’s next: Open questions include what the units will cost, when they could arrive and which AI sites they may serve. Later company updates could address those points.

On the wider economy, the September report on durable goods orders is due Oct. 27. It tracks orders for long-lasting goods such as machinery, a gauge of business investment.