Recent weeks have brought red flag after red flag for investment in AI and the related data center boom. Bond yields soared for AI infrastructure giant CoreWeave, a sign that investors view the buildout as increasingly risky. And Meta’s reporting of negative free cash flow for the quarter to fund its infrastructure buildout while saying it might need to raise even more capital to fund its AI buildout not only hit its own stock but contributed to a price decline across the big tech companies.

These developments raised questions across Wall Street about whether too much is being spent too quickly on data center expansion. How questions over data center investment play out has big implications for how companies and investors approach the future of energy and, by extension, climate. A pullback in the pace of new data centers could ease pressure to build fossil generation, but it would also weaken the commercial case for clean energy technologies that need big, reliable buyers who are willing to pay a premium for power.

Most obviously, a dent in the AI buildout would translate directly into a slowdown in related electricity demand growth. In advanced economies like the U.S., data centers will account for 20% of that growth through 2030. By then, data centers are expected to account for 3% of global electricity demand, according to data from the International Energy Agency.

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Some climate advocates may initially rejoice at slowing electricity demand. Even as renewable energy expands, grids around the world still rely on fossil fuels. In the U.S. in particular, AI demand has sparked a wave of building new natural gas infrastructure. In the short term, slowing demand would mean lower emissions from the existing system than today’s baseline assumptions and less investment in new natural gas infrastructure.

But a slowing data center build out leaves less mature technologies at risk. From advanced geothermal to new ways of producing nuclear power, big tech companies have been willing to pay more to lock in reliable power sources, thereby accelerating the market for these new efforts. Even unproven technologies like nuclear fusion have received a big financial boost from tech firms speculating that they might help solve their power challenges and give them a competitive leg up in the AI race. In a tighter financial environment with lower projected electricity demand, both the incentive and the financial capacity to make bold bets diminish.

To be clear, data centers are not the only source of growing electricity demand. New manufacturing continues to create the need for power. The need for air conditioning has ramped up in many emerging markets, particularly in the Global South, creating new grid pressures. And electric vehicles continue to take off in many markets outside the U.S.

Even as gas remains resilient, much of the power built to meet demand will come from clean sources, including and especially solar and battery storage. Solar is increasingly cost competitive. And this year’s spike in fuel prices—particularly natural gas—has made local power more appealing. But the companies behind growing sectors like air conditioning and EVs are less involved in local power systems and lack the capital to really shape them like the world’s wealthiest tech companies have. In short, clean energy will take a hit without the backing of big tech.

It’s too soon to tell whether, in the long run, this week’s AI infrastructure recalibration will be a blip in time or part of a much broader realignment. But it’s something that anyone invested in clean energy and climate should be watching closely.