Data centers become US midterm campaign target

Data centers powering the US artificial intelligence boom have become a campaign issue in November's midterm elections, as candidates in both parties respond to complaints about electricity bills, noise and pressure on water and power supplies.

An independent market monitor said demand from data centers on the grid serving Ohio and 12 other states raised capacity costs by $9.3 billion in a single year, a 174 percent increase.

In Texas, Republican Governor Greg Abbott has frozen new projects while regulators review their impact on power and water supplies. His Democratic challenger wants a moratorium until lawmakers pass stronger safeguards.

The issue is also prominent in Ohio, where Democrat Sherrod Brown has attacked Republican Jon Husted over data-center investment and promised to make operators pay the full cost of the power they use. Senate Republicans have warned that the issue could hurt Husted's race.

Other states are moving in the same direction. New York has imposed a one-year moratorium on new hyperscale facilities, and Pennsylvania now requires developers to cover infrastructure costs and meet tougher standards on water use, hiring and community consultation.

President Donald Trump continues to back the industry as important to US competition with China on AI. His administration has signed Google, Microsoft, Meta, Oracle, xAI, OpenAI and Amazon to a voluntary pledge not to leave consumers paying for power plants and grid upgrades needed for their facilities.