A Political Battle Is Brewing Over Data Centers

An AI-related provision in the “Big Beautiful Bill” could restrict state-level legislation of energy-hungry data centers—and is raising bipartisan objections across the US.

A 10-year moratorium on state-level AI regulation included in President Donald Trump’s “Big Beautiful Bill” has brushed up against a mounting battle over the growth of data centers.

On Thursday, Representative Thomas Massie, a Kentucky Republican, posted on X that the megabill’s 10-year block on states regulating artificial intelligence could “make it easier for corporations to get zoning variances, so massive AI data centers could be built in close proximity to residential areas.” Massie, who did not vote for the bill, followed up his initial tweet with a screenshot of a story on a proposed data center in Oldham County, Kentucky, which downsized and changed locations following local pushback.

“This isn’t a conspiracy ...