Tech leaders warn AI backlash could slow data centre building

In short: Tech executives say public backlash against AI is starting to threaten plans to build many new data centres.

What's going on

Leaders at the Financial Times Future of AI summit said growing public anger about AI is spilling over into opposition to data centres. Data centres are large buildings full of computers that run online services and AI systems (think of them like giant server rooms that power apps and websites).

They pointed to the US midterm elections as a warning sign. Voters elected governors in Texas, Georgia, and Ohio who campaigned against data centre expansion, and 38 local votes backed new limits on data centre development.

Several speakers said the tech industry helped create the problem. Vik Bajaj, co-chief executive of Project Prometheus, said the industry has spent years talking about AI in ways that scared people, including warnings that it could destroy jobs or even become an “existential crisis.” John Hanke, founder of Niantic Spatial, said the industry has been in a “build, build, build” mindset and needs to pause and be more thoughtful.

Companies also face practical complaints from communities. Critics say data centres can compete for electricity and water, and they can bring pollution and other disruptions. Some companies are responding by changing how they work with governments, and by signing a voluntary pledge supported by US President Donald Trump that aims to stop electricity costs tied to data centres from being passed on to consumers.

What to watch

Executives said future projects may depend on whether local communities see real benefits, not just promises. Expect more fights over permits, energy use, and water use, and more pressure on companies to explain what data centres do and why they are being built.

Source: Financial Times