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Trump’s ‘Let Data Reign’ Push Deepens GOP Rift Over Data Centers

The president’s Monday defense of large AI data centers has forced candidates to change positions and strengthened state and utility limits that are slowing project approvals.

Overview

  • President Donald Trump posted on Monday that towns that reject data centers will be “backwards and poor” and urged communities to welcome the facilities as essential to U.S. AI leadership.
  • Several Republican lawmakers publicly rebuked the president’s phrasing while other Republicans and some Democrats backed his competitiveness argument, leaving candidates in battlegrounds to recalibrate their messages before the midterms.
  • Polls reported by multiple outlets show broad bipartisan opposition to siting data centers near communities, with roughly two-thirds to three-quarters of respondents saying they do not want a data center in their area.
  • States and regulators have responded with concrete actions: New York imposed a moratorium, Pennsylvania set strict guardrails, Texas and others launched audits or tighter permitting, and utilities are raising scrutiny of grid connections and rate impacts.
  • Economists and reporters note a trade-off where data centers now drive a large share of private investment and GDP growth but typically create many short-term construction jobs and few long-term local positions, and their heavy electricity demand can raise local bills and prompt tougher policy choices.