A Political Battle Is Brewing Over Data Centers

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 theory; this was a recent issue in my Congressional district," he wrote of concerns over the placement of data centers. "It was resolved at the local level because local officials had leverage. The big beautiful bill undermines the ability of local communities to decide where the AI data centers will be built."