The President Views Artificial Intelligence Infrastructure as an Economic “Golden Goose” and a Strategic Weapon Against China, Even as Republicans Confront Mounting Opposition Ahead of the Midterm Elections
WASHINGTON | President Donald Trump knows the politics surrounding data centers are deteriorating. He has seen the polling, heard the complaints about electricity prices and watched Republican candidates distance themselves from projects once promoted as engines of economic growth.
Trump is defending them anyway.
“He looks at the polling. He looks at what people are saying,” a senior White House official told 'TELL IT LIKE IT IS' News. “Polling isn’t necessarily great on data centers, but it’s incumbent upon us to explain our position.”
For Trump, the massive facilities powering artificial intelligence systems represent more than another construction boom. They are a source of private investment, a pillar of America’s technological competition with China and one of the administration’s strongest remaining arguments that its economic policies are attracting large-scale development.
Trump called data centers the nation’s “Golden Goose” in a Monday post on Truth Social. He warned that communities rejecting them risk becoming “backward and poor” and argued that the growing opposition benefits China.
The comments placed Trump squarely against an increasingly bipartisan movement questioning the economic and environmental costs of data-center expansion.
A recent Economist/YouGov survey found that 61% of Americans opposed construction of a data center in their community, including 47% of Republicans. Public concerns include higher utility bills, heavy water consumption, noise, land use and the relatively limited number of permanent jobs some facilities create after construction ends, according to The Washington Post.
AI investment collides with local opposition
Data centers house the servers, networking equipment and cooling systems required to operate artificial intelligence platforms and other digital services. Their rapid expansion has become central to the global AI race, but it is also placing unprecedented demands on power grids.
The International Energy Agency projects that global data-center electricity consumption will roughly double by 2030. In the United States, facilities are expected to account for nearly half of electricity demand growth through the end of the decade. China is projected to represent the next-largest share of the increase, reinforcing the geopolitical stakes surrounding AI infrastructure. International Energy Agency
The Trump administration has made accelerating data-center construction an official policy. A 2025 executive order directed federal agencies to reduce regulatory barriers and expedite permitting for AI data centers, power-generation facilities and transmission infrastructure. White House
The administration has also attempted to address concerns about electricity prices. In March, major technology companies signed the White House’s Ratepayer Protection Pledge, committing to build, purchase or provide the energy necessary for their data centers and cover associated infrastructure costs. White House
Those assurances have not stopped the political backlash.
Texas Gov. Greg Abbott paused approvals for data centers seeking connections to the state’s power grid while officials reviewed their electricity and water requirements. Trump called the decision “a mistake,” while Abbott’s office said the review was necessary because fewer than 10% of data-center operators responded to requests for information. The state’s grid operator is tracking a potential increase in peak electricity demand of more than 500%. The Texas Tribune
Republican candidates, including Michigan Senate contender Mike Rogers and Texas Attorney General Ken Paxton, have adopted more skeptical positions as the November midterm elections approach.
A senior White House official said Trump does not consider those positions a violation of party loyalty.
“Data centers are a big topic of conversation when it comes to the midterms, when it comes to what people are concerned about, so he’s not going to shy away from letting everyone know exactly how he feels,” the official said.
An economic and political gamble
Trump’s support reflects an economic calculation. Data-center construction continues to attract enormous investment at a time when other sectors of the economy have shown signs of slowing.
“Trump is married to data centers no matter what because it’s the only real job creator,” said a former Trump administration official who was granted anonymity to discuss the politically sensitive issue.
The claim is disputed by critics who note that data centers can require thousands of workers during construction but often employ comparatively small permanent staffs once operational. Supporters counter that the facilities generate tax revenue, create demand for construction and skilled trades, and support a broader technology economy.
The political divide is increasingly visible within Trump’s populist coalition.
Former White House chief strategist Steve Bannon called the data-center controversy “a wedge issue for the populist right,” arguing that the debate extends beyond electricity bills to voter distrust of technology executives and wealthy Silicon Valley investors.
A July POLITICO Poll found that support for data centers among people who voted for Trump in 2024 declined from 45% to 34% over six months, underscoring the risk to Republicans seeking to align themselves with both the president and concerned voters.
Industry leaders are also questioning whether the administration has developed a sufficient response.
One data-center executive said Trump has not presented “a well-thought-out plan at the national level” capable of reversing public opposition. The executive suggested communities may demand direct economic benefits, such as revenue-sharing agreements, energy protections or other financial incentives.
“Short of major economic incentives, I think the backlash will get worse — not better,” the executive said.
Silicon Valley investor Jason Calacanis offered a more cynical forecast, suggesting politicians would return to pro-development positions after surviving the midterm elections.
“Right after the midterms, politicians will flip their positions back to being pro-growth and pro-data center,” Calacanis said. “They just have to make it past November.”
Trump appears unwilling to wait. His argument is that America cannot lead the AI economy without the computing infrastructure needed to build it — and that communities that reject data centers risk surrendering investment and technological influence to competitors.
Whether voters accept that case may depend on a more immediate calculation: who receives the economic rewards and who pays the costs.
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-- By AndrΓ©a Mochida
Michael R Thomas, Michele Robinson, James A. Wright, Amelia Nettles, and Robert Douglas contributed to this report.
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