Meta warns that political opposition after the elections will complicate the construction of AI data centers
Meta President Dina Powell McCormick said that a Democratic victory in the November elections will deepen political opposition to the construction of data centers. The company currently has 23 data centers in the US and five projects with a capacity of 1 GW or more.
Meta President Dina Powell McCormick said at the WSJ Tech conference that the Democratic results of the fall elections will make it harder for companies to build data centers. According to her, the industry "hasn't done a good enough job" of explaining the benefits of these investments, and opposition to data centers is linked to more general public concerns about AI technologies as such — a data center is, in her view, a "visible manifestation" of AI that communities can easily complain about.
Meta currently operates data centers in 23 US states and plans five projects with a capacity of 1 gigawatt or more, including one in Texas. Powell McCormick described the model through which the company says it successfully gains support from local communities: Meta covers its own electricity costs, any tax surplus from the projects goes to teachers and emergency services, the workforce stays local, and the company seeks support across the political spectrum. She expects future projects to face greater scrutiny and evaluation based on whether residents actually want them.
Meta is also linking its infrastructure bet to the AI assistant Muse, which the company says has 10 million users, with hopes of scaling to billions of users. Powell McCormick added that even if this scenario does not materialize, the company believes the computing capacity built will find a use — the company says it receives daily inquiries to rent it out.
Why it matters
The political risk associated with data center construction is increasing after the elections and is becoming a factor that companies investing in AI infrastructure must explicitly address with local communities and politicians, not just technically and financially.
Relevant practical impact
What this means
For a business
Companies planning or operating data centers for AI face increased political and regulatory risk following the elections; a model of community support (local electricity, taxes for public services, local workforce) is becoming a condition for successful project approval.
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Event sources
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