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Data centers were on the ballot, and voters sent unmistakable message
· Confirmed
In Short: In Tuesday's midterm elections, voters across 10 states overwhelmingly backed restrictions or rejected pro-development measures for data centers, reflecting growing concerns about electricity costs and land use.
In Tuesday's midterm elections, voters across 10 states overwhelmingly backed restrictions or rejected pro-development measures for data centers, reflecting growing concerns about electricity costs and land use. According to an analysis by Ballotpedia and results compiled by CNBC, voters backed restrictions or rejected pro-development measures in all but one of 41 local ballot measures.
In Ohio, a major hub for data center development, the results were particularly decisive. In the City of Defiance, voters approved a charter amendment restricting data center construction by a 64.73% to 35.27% margin, according to unofficial county election results. In Ashville, voters rejected a data center referendum by an even wider margin, with 81.61% voting against the measure and 18.39% voting in favor.
Voters in Pataskala approved a data center-related charter amendment by a 73.62% to 26.38% margin, while voters in Granville backed a similar amendment, 82.45% to 17.55%. These results underscore the intensity of opposition in communities where the projects were directly on the ballot.
The Washington Post separately reported that voters in at least 38 jurisdictions passed measures limiting or blocking data centers. Many of these measures passed by wide margins, indicating the depth of community opposition to data center expansion.
A Washington Post-ABC News-Ipsos poll conducted before the election found that seven in 10 Americans, including a majority of Republicans, opposed new data center construction in their communities. The Post also cited an election-day poll showing that 56% of voters considered artificial intelligence and data centers a major or crucial factor in their vote, though it ranked last among five issues surveyed, behind concerns including government corruption, the war in Iran, and the cost of living.
The political landscape is shifting, with voters pushing back on data center development and lawmakers grappling with how to regulate Big Tech's growing influence. More than 145 data center projects were delayed or canceled nationwide through early August, underscoring the impact of opposition beyond the ballot box.
Dan Diorio, executive vice president of state policy and government affairs at the Data Center Coalition, said, 'Affordability, jobs, and the economy are priorities for Americans across the country.' He added that data centers can generate jobs, local tax revenue, and investment. However, the intensity of opposition in communities where the projects were directly on the ballot suggests that these benefits may not be enough to overcome concerns about electricity costs and land use.
What this adds
The opposition to data center expansion has already disrupted projects beyond the ballot box, with more than 145 data center projects delayed or canceled nationwide through early August. Additionally, Marvell and Lumentum announced a historic $115 billion deal to create a 'category leader' in AI connectivity, highlighting the ongoing investment in AI infrastructure despite community pushback.
Background
The political landscape is shifting, with voters pushing back on data center development and lawmakers grappling with how to regulate Big Tech's growing influence.
What's confirmed
- In Tuesday's midterm elections, voters across 10 states overwhelmingly backed restrictions or rejected pro-development measures for data centers, reflecting growing concerns about electricity costs and land use. According to an analysis by Ballotpedia and results compiled by CNBC, voters backed restrictions or rejected pro-development measures in all but one of 41 local ballot measures.
- In Ohio, a major hub for data center development, the results were particularly decisive. In the City of Defiance, voters approved a charter amendment restricting data center construction by a 64.73% to 35.27% margin, according to unofficial county election results. In Ashville, voters rejected a data center referendum by an even wider margin, with 81.61% voting against the measure and 18.39% voting in favor.
- Voters in Pataskala approved a data center-related charter amendment by a 73.62% to 26.38% margin, while voters in Granville backed a similar amendment, 82.45% to 17.55%. These results underscore the intensity of opposition in communities where the projects were directly on the ballot.
- The Washington Post separately reported that voters in at least 38 jurisdictions passed measures limiting or blocking data centers. Many of these measures passed by wide margins, indicating the depth of community opposition to data center expansion.
- A Washington Post-ABC News-Ipsos poll conducted before the election found that seven in 10 Americans, including a majority of Republicans, opposed new data center construction in their communities. The Post also cited an election-day poll showing that 56% of voters considered artificial intelligence and data centers a major or crucial factor in their vote, though it ranked last among five issues surveyed, behind concerns including government corruption, the war in Iran, and the cost of living.
- The political landscape is shifting, with voters pushing back on data center development and lawmakers grappling with how to regulate Big Tech's growing influence. More than 145 data center projects were delayed or canceled nationwide through early August, underscoring the impact of opposition beyond the ballot box.
- Dan Diorio, executive vice president of state policy and government affairs at the Data Center Coalition, said, 'Affordability, jobs, and the economy are priorities for Americans across the country.' He added that data centers can generate jobs, local tax revenue, and investment. However, the intensity of opposition in communities where the projects were directly on the ballot suggests that these benefits may not be enough to overcome concerns about electricity costs and land use.
What's still developing
- Constellation Research founder R 'Ray' Wang joins ‘Making Money’ to analyze the post-election market rally, potential policy implications for AI data centers and investment opportunities across tech stocks and hyperscalers.
- - Data centers were on the ballot, and voters sent unmistakable message - What’s fueling Wall Street’s growing concerns about AI - Google expands voluntary buyouts to 5 countries as AI spending fuels cost cuts PROFIT PRESSURE: U.S.
- NEXT CHAPTER: Democrats' takeover of both chambers of Congress in the midterm elections drew mixed reactions from investors and business leaders Wednesday, with some anticipating greater economic stability and others warning of increased scrutiny of artificial intelligence and data center development.
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- AI data centers and manufacturing are driving a massive labor boom across the country.
- Not every community voted to restrict development.
- AI LANDMARK: At the opening of the world's largest energy conference in Abu Dhabi, artificial intelligence took center stage alongside oil and gas as OpenAI CEO Sam Altman joined senior UAE officials for the announcement of a major partnership aimed at bringing advanced AI into the energy industry.