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Data Centers Will Continue to Be Built, Despite Midterm Elections
The New York Times • • business
Key Points:
- Opposition to data centers has surged nationwide, with 40 out of 41 local ballot initiatives voting to limit or prevent their development, reflecting growing public and political resistance.
- Despite efforts by tech companies to address concerns through transparency, community benefits, and higher electricity payments, opposition has intensified, even among previously supportive elected officials.
- Investment analyses suggest that the impact on data center construction will be limited, with Bernstein estimating only 2 to 4 percent of future projects canceled, and Susquehanna Financial Group forecasting continued growth in data centers for AI training through 2027 and 2028.
- Regional officials, including those advising Democratic leaders, anticipate no dramatic downturn in data center building, emphasizing conditional moratoriums focused on labor and site criteria rather than outright bans.
