Texas Governor Greg Abbott stated that data center companies have "dug their own grave" in response to backlash from local communities. In an interview with ABC's Jonathan Karl, Abbott emphasized that the rapid development of data centers without prior community support has led to significant opposition. This shift in Abbott's stance marks a departure from his previous support for the AI data center boom, which he had previously promoted as beneficial for Texas's economy.
Recently, Abbott directed state regulators to ensure data centers cover the full costs of electrical infrastructure and to phase out tax incentives for these companies. He also ordered audits of data centers seeking to connect to Texas's power grid. The backlash against data centers has become a political issue, with a recent survey indicating that 61% of Americans oppose new data centers in their areas, a significant increase from earlier this year. This opposition spans across party lines, with 69% of Democrats, 54% of Republicans, and 53% of independents expressing disapproval.
The growing resistance to data centers could impact the AI industry's infrastructure needs, as these facilities require substantial electricity and water resources, and their construction can strain local communities. Abbott's comments reflect a broader concern among politicians about the potential electoral consequences of ignoring community sentiments regarding data center development.