What happened in China Matrix Power is a young Shanghai power systems company, but its significance comes from who built it and what problem they chose to solve. The startup was founded by former Huawei energy executives who spent years working on data centre power architecture for hyperscale customers. Rather than selling generic industrial equipment, Matrix Power is focused on one of the fastest-emerging bottlenecks in AI infrastructure: how to deliver stable, efficient power to increasingly dense compute racks. That matters in Europe because the continent’s AI ambitions are running into a physical constraint as much as a software one. Demand for AI compute is rising, but every new cluster pushes harder on power delivery, cooling and grid capacity. Reuters has described the AI race as one that is forcing governments and technology companies to build new electricity capacity and upgrade ageing grids. Yahoo Finance similarly notes that Chinese…