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Earlier this week, President Donald Trump publicly weighed into the data center debate, complicating Republican races in the November midterms. He argued that communities opposing data centers want to remain 'backwards and poor,' while accusing critics of being in China’s pocket. Despite polling showing widespread opposition—with just 14% of Democrats and 31% of Republicans supporting new data centers—Trump framed them as essential for economic growth and job creation.
Commerce Secretary Howard Lutnick recently claimed data centers ‘don’t use water,’ contradicting his earlier admission that they ‘suck’ water, while the industry’s rapid expansion accelerates amid nationwide backlash. The five largest hyperscale tech firms—Amazon, Microsoft, Google, Meta, and Oracle—are projected to spend over $560 billion on AI infrastructure this year, with data center construction surging 60% year-over-year. By 2027, U.S. demand for power in data centers is expected to double, with two-thirds of new facilities built since 2022 located in high-water-stress regions, particularly in the western U.S.
Red and blue states are now considering bans on large-scale data center construction. New York became the first state to impose a one-year moratorium, while Texas Governor Greg Abbott, a vocal pro-business figure, ordered an audit of data center projects amid growing opposition. Meanwhile, AI companies are pouring millions into midterm campaigns, with super PACs like Leading the Future raising $140 million and individual donors like OpenAI’s Greg Brockman contributing $25 million. Anthropic’s Public First Action has donated at least $40 million through a dark-money nonprofit, while Elon Musk’s super PAC and Meta’s political arms have tens of millions ready to deploy.
The industry’s political spending is part of a broader push to counter backlash. AI companies claim their data centers are water- and energy-efficient, offering public projects like workforce training and community investments. However, critics argue that local concerns—such as rising electricity costs, water depletion, and property value declines—are being sidelined. Polling shows only 20% of Americans support new data centers, with bipartisan opposition fueled by fears of economic and environmental harm.
Politically, data centers have become a divisive issue. In New York’s 12th congressional district, a PAC linked to Anthropic spent over $13 million supporting a candidate who opposes data centers, while another spent $8 million opposing him. In Texas, Democratic challenger Gina Hinojosa has framed Abbott as too aligned with the industry, while Pennsylvania Governor Josh Shapiro pivoted from supporting AI to restricting new data centers. Ohio’s U.S. Senate race also highlights the divide, with Democrat Sherrod Brown accusing Republican Jon Husted of promoting data centers.
The backlash extends beyond politics. Communities protest data centers for their environmental impact, and the industry’s use of NDAs and confidential negotiations has further alienated residents. Experts warn that the public’s skepticism will likely influence midterm outcomes, as voters seek accountability from candidates on this contentious issue. The Trump administration has attempted to mitigate concerns through initiatives like the Ratepayer Protection Pledge, but the debate over data centers’ role in America’s future remains unresolved.
Source: The Independent
