'Let data reign': Trump tells Americans to embrace data centres or end up 'backwards and poor'

US President Donald Trump cautioned Americans on Monday that failing to embrace the data centres being constructed in their communities would lead to the nation becoming "backwards and poor." In a post on Truth Social, the president emphasized that the growing public opposition to data centres could give China an advantage in the AI race.

Trump stated, "The only reason that communities throughout the USA should not want data centres is if they want to end up being backwards and poor. If they want to be successful and rich, with far lower taxes and jobs all over the place, let data reign."

These massive facilities, which provide the computing power essential for the AI revolution, have become a focal point for Americans before the upcoming November midterm elections. Concerns have been mounting over the noise they generate, the amount of water they consume, as well as the impact of AI on jobs and rising energy costs.

Some states, such as New York and Texas, have implemented moratoriums or freezes on new data centre development, while other jurisdictions are considering regulations that could create additional obstacles for an industry already struggling to secure power and equipment.

The implications of any construction delays would be significant for US tech companies, which have planned to invest over $700 billion in AI infrastructure this year. These delays would also pose challenges for Wall Street investors backing the companies. Trump's opposition to data centres presents a political challenge for him, as he has positioned AI development as a cornerstone of his economic agenda and a priority for the administration in order to maintain the US's lead over China in AI technology. The White House is set to host a visit from Chinese President Xi Jinping next month.

The anti-data centre sentiment has gained traction as Democrats emphasize affordability issues in their campaign to regain control of Congress in November. Progressive Senator Bernie Sanders is among US officials advocating for moratoriums on new data centres. According to data from research group Data Centre Watch, at least 75 data centre projects were blocked or delayed in the first quarter of this year due to local objections.

This opposition has been particularly prevalent in political battleground states like Michigan and Georgia, where 17 projects have been delayed or blocked.