This is de-risking the other way. It allows the energy companies to build their infrastructure without worries that they will get undercut by a competitor and be stuck with overbuilt infrastructure and no one to sell to.
Without that commitment, the investment doesn't get made into the new power generation. Margins in that industry are much lower than in tech.
Yes, it gives them some firm future revenue numbers to work with. They can take this agreement and get financing to pay for the actual construction needed.
Without that commitment, the investment doesn't get made into the new power generation. Margins in that industry are much lower than in tech.