More significant than Israel: Data centers are the hot topic of the US midterm elections

Data centers for artificial intelligence have become a central issue in the US midterm election campaigns. About 70% of Americans oppose the construction of such facilities near their homes, citing concerns over rising electricity and water costs. The issue has sparked tension even within the Republican Party, forcing the Governor of Texas to impose new regulations.

YnetAuthors: Tzipi Shmilovitz, New York
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More significant than Israel: Data centers are the hot topic of the US midterm elections
Photo: Ynet / AP/ Ted Shaffre

Tip O'Neill, the legendary Speaker of the US House of Representatives in the 70s and 80s, coined the phrase 'All politics is local', and it has proven true time and again. Americans live in diverse parts of the country with varied concerns, which is reflected in their voting behavior. Sometimes, local issues break through to the national political stage. This is exactly what is happening now in the US.

About three months before the midterm elections for Congress and state governments, data centers intended for artificial intelligence (AI) have become a primary concern for candidates and the public. This opposition is proving to be sweeping and bipartisan.

There are currently between 3,000 and 4,500 active data centers in the US, accounting for nearly 40% of the global total. In Virginia alone, over 660 facilities operate, handling a huge portion of global internet traffic. Previously, these centers were built quietly with the support of politicians from both parties. However, in the last year, civil organizations have brought the issue to the forefront, revealing that many projects were approved without considering resident opposition or the need for regulation, often involving confidentiality agreements between local officials and developers. To date, civil groups have successfully delayed or canceled 75 data center projects.

A Gallup poll found that 71% of Americans oppose the construction of data centers near their homes. According to Reuters, only one-third of Americans support the current pace of construction, and just 14% favor having such facilities in their own communities. Key concerns include the impact of AI on the economy and job security, as well as fears of sharp increases in electricity and water prices due to the massive energy demands of these centers.

Between optimism and fear: Americans are torn regarding AI. However, when the issue intersects with the economy, cost of living, and the future of the working class, public sentiment swings sharply toward opposition. The public perceives that massive profits flow to large corporations, while the physical and environmental costs are borne by local communities.

Hundreds of candidates for the House, Senate, and state offices have included AI or data center policies on their campaign websites this year, injecting the issue into nearly 40% of races nationwide. Many Democrats and Republicans are prioritizing AI policy over other central issues—even Israel, which was a hot topic during the primaries but has faded as the final stretch approaches.

'Artificial intelligence has gone from something no one was interested in, to a situation where it is everywhere,' said Kyle Kondik, an election analyst at the University of Virginia's Center for Politics. The issue is expected to remain central through the 2028 presidential election. Potential contenders like Republican Vice President J.D. Vance and Democratic California Governor Gavin Newsom are already addressing AI policy.

Brent Buchanan, CEO of the polling firm Cygnal, noted a new pattern in focus groups: once one participant complains about data centers, others join in. 'The immediate reaction of the voters is, "Hell no",' Buchanan said.

Texas offers the best example of the political headache this issue is causing. In a state under full Republican control with minimal regulation, Governor Greg Abbott was forced to publish comprehensive new regulations for data centers following criticism from his Democratic rival, Gina Hinojosa, and prominent Republicans. They argued that Abbott was 'allowing unlimited development of data centers at the expense of Texans and the stability of the Texas power grid.'

Even Donald Trump, a staunch supporter of AI development whose Texas projects are led by Elon Musk, called Abbott's pivot a 'mistake.' However, Abbott knows that many of his traditional voters oppose having these facilities built under their noses. As Amy Kremer, founder of the conservative organization HumansFirst, told Reuters: 'People woke up one day and discovered that a monster was about to be built in their community, and they don't want it.'

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