We need to learn to love the local data center

After a significant shift in political power, the cost and time required to build data centers have increased due to opposition from newly elected Democrats. This opposition was evident in key states like Texas and Kansas, where Democrats gained control of governor's offices traditionally held by Republicans. The backlash against data centers was evident at the ballot box, with voters clearly stating their preference for not having these "noisy behemoths" in their communities.

This sentiment was particularly strong in Texas, where a little-known state legislator named Gina Hinojosa campaigned against data centers and successfully unseated the incumbent governor, Greg Abbott. Despite initially embracing the data-center boom, Abbott called a pause in August following disappointing poll numbers.

The necessity of data centers cannot be overstated, as they are essential for processing the vast amounts of data that drive modern life and support the productivity gains brought about by the AI revolution. These facilities house thousands of computer servers that are crucial for driving economic growth and fostering high living standards in the U.S. The ability to harness the productivity gains from AI is paramount, as it enables wage increases without triggering inflation, a key factor in maintaining the nation's economic prosperity.

Thus, despite the pushback against data centers, the U.S. must continue to invest in and build these facilities to ensure a thriving economy and the continued advancement of technology.