An election post-mortem on data centers:
AI and data centers were on the ballot this election, and it won’t be the last time. 40 out of 41 ballot measures on data centers passed, Republicans lost five governorships, seven seats in the Senate, and 79 seats in the House. And there could be more. Candidate positions on AI and data centers were a factor.
Republicans have two years to reset and get this right.
It’s unclear to many Americans why the data center buildout would benefit them, not just the AI companies. Democrats reacted decisively to Americans’ fear of AI and opposition to data centers by declaring they will ban them.
Republicans waffled saying, the U.S. needs to win the AI race against China, data centers use less resources than you think, but they should pay their fair share—stopping short of any requirements that they do so. This stance was not compelling to voters. The AI race with China is elusive to many Americans. Most Americans are concerned with AI adversely affecting their jobs and livelihood. Republicans didn’t make a compelling case as to why the AI race should matter to voters, why data centers need to be built, and how voters won’t get screwed in the process.
Here’s the why and how:
1. The AI race with China matters because using American-built AI systems instead of Chinese-built AI systems preserves our freedoms, supports our jobs and economy, and protects our national security. China is a communist foreign adversary and cannot be trusted.
2. Banning construction of data centers in an entire state is not realistic, but that doesn’t mean you have to be the data center king. Data centers are the physical infrastructure for not just AI but also web hosting and cloud computing. Bans across the country will have greater consequences on Americans than the companies. The companies will simply go abroad, but offshoring leads to downstream economic and job losses. It also undermines data sovereignty since Americans' data could fall under foreign censorship, tariffs, and political instability.
3. It’s clear AI companies need guardrails for their buildout. State and local leaders shouldn’t let AI companies pillage communities with data center construction. Voters made it clear data centers shouldn’t be built in residential areas. The Ratepayer Protection Pledge needs to be enforced, not voluntary. And instead of being given tax breaks, data centers should be made taxpayers.
Republicans can only hope Democrats go too far in their push for bans over the next two years. But they also need to present a viable alternative that doesn’t simply cater to AI companies and dismiss critics as AI doomers.
In short: no data centers by homes and make the companies pay.
AI and data centers were on the ballot this election, and it won’t be the last time. 40 out of 41 ballot measures on data centers passed, Republicans lost five governorships, seven seats in the Senate, and 79 seats in the House. And there could be more. Candidate positions on AI and data centers were a factor.
Republicans have two years to reset and get this right.
It’s unclear to many Americans why the data center buildout would benefit them, not just the AI companies. Democrats reacted decisively to Americans’ fear of AI and opposition to data centers by declaring they will ban them.
Republicans waffled saying, the U.S. needs to win the AI race against China, data centers use less resources than you think, but they should pay their fair share—stopping short of any requirements that they do so. This stance was not compelling to voters. The AI race with China is elusive to many Americans. Most Americans are concerned with AI adversely affecting their jobs and livelihood. Republicans didn’t make a compelling case as to why the AI race should matter to voters, why data centers need to be built, and how voters won’t get screwed in the process.
Here’s the why and how:
1. The AI race with China matters because using American-built AI systems instead of Chinese-built AI systems preserves our freedoms, supports our jobs and economy, and protects our national security. China is a communist foreign adversary and cannot be trusted.
2. Banning construction of data centers in an entire state is not realistic, but that doesn’t mean you have to be the data center king. Data centers are the physical infrastructure for not just AI but also web hosting and cloud computing. Bans across the country will have greater consequences on Americans than the companies. The companies will simply go abroad, but offshoring leads to downstream economic and job losses. It also undermines data sovereignty since Americans' data could fall under foreign censorship, tariffs, and political instability.
3. It’s clear AI companies need guardrails for their buildout. State and local leaders shouldn’t let AI companies pillage communities with data center construction. Voters made it clear data centers shouldn’t be built in residential areas. The Ratepayer Protection Pledge needs to be enforced, not voluntary. And instead of being given tax breaks, data centers should be made taxpayers.
Republicans can only hope Democrats go too far in their push for bans over the next two years. But they also need to present a viable alternative that doesn’t simply cater to AI companies and dismiss critics as AI doomers.
In short: no data centers by homes and make the companies pay.
