In a recent update, Baker Hughes’ leader Lorenzo Simonelli highlighted the enduring strength of the worldwide economic landscape as it moves into 2026, navigating through international conflicts and regulatory obstacles, largely thanks to the accelerated adoption of generative AI technologies that are ramping up electricity requirements and energizing manufacturing sectors.
The executive expressed firm belief in surpassing the $1.5 billion mark for data center contracts well before the planned three-year timeline, driven by persistent and robust appetite for data center energy solutions.
That said, the firm’s forecast for next year stands firm, projecting a notable decrease in the upper single-digit range for global upstream investments. Simonelli also flagged the persistent fears of oil market surplus as a mood-killer for investors, noting that several OPEC+ nations are still falling short on their output commitments.
He forecasted that upstream oil sector funding would linger at low levels until the excess production from the alliance is fully integrated into the market. Looking further ahead, initial trends signal that 2026 could mirror this pattern of restrained growth and budget cuts, setting the stage for a measured upturn focused on global and marine exploration areas.