Helium-an essential, irreplaceable input for chipmaking and cooling-has been heavily impacted, with supply chains strained by reduced output from Qatar and limited flexibility to replace it quickly.

With a third of the global supply offline because of the war in Iran, gas companies are scrambling to assure critical A.I. chip makers there will be no disruptions.

He said building a liquefaction facility in Canada would reduce dependence on the U.S. and open new sales opportunities. The company, however, was founded by a U.S. citizen, Nicholas Snyder, and its investors are mostly U.S.-based, according to Borggard.

Let’s cut straight to it. A geopolitical shock just knocked roughly one-third of global helium supply offline. Iran’s strike on Qatar’s largest LNG facility damaged production lines that could take years to rebuild,

"Recent geopolitical developments are reinforcing the importance of stable, North American-sourced energy and helium," said Ed Bereznicki, President & CEO of First Helium. "Our combination of oil development potential, and a significant helium enriched natural gas resource, positions the Company to benefit from growing supply security concerns."

"The first victims are party balloons." The post The Iran War Has Cut Off Supply of a Gas the AI Industry Desperately Needs appeared first on Futurism.

The Iran war has shut down Qatar’s helium production, severing a supply line that runs directly into the factories where AI semiconductors are made. Qatar declared force majeure on liquefied natural gas and associated exports,

The shortage is threatening the production of everything from semiconductors to military drone components and space rockets.

The world's helium supply took a major hit last month when Iran struck Qatar's liquefied natural gas production facilities in Ras Laffan.

Helium is the second-most-common element in the universe after hydrogen. But it is rare on Earth, where it mainly exists in small concentrations in pockets of natural gas.