Reported about 8 hours ago
As oil demand wanes, major companies like Exxon and Chevron are shifting focus towards providing energy for the growing artificial intelligence sector. Despite previous significant profits, recent earnings suffered due to oversupply and declining refining margins. The rise of China's low-cost DeepSeek AI model further pressures traditional oil businesses, compelling them to adapt and seek partnerships with tech giants to meet the energy demands of data centers. Executives anticipate that the demand for natural gas will grow alongside AI, although their current reliance on dividends and buybacks appears increasingly unsustainable.
Source: YAHOO