President Trump called New York's data center moratorium a mistake, warning the state will lose AI investment to Texas and Arizona. Developers see billions at risk.
Alpha Score of 72 reflects strong overall profile with strong momentum, weak value, strong quality, moderate sentiment.
President Donald Trump on Wednesday called New York's one-year moratorium on new hyperscale data center permits a mistake, warning the state would lose jobs and tax revenue to Texas, Arizona, Alabama, and Florida. "One of the biggest Driving Forces in the Future for Jobs, are Data Centers," Trump wrote on Truth Social. He described the facilities as "Money Machines" and "Cash Cows."
The President's post came a day after Gov. Kathy Hochul announced the pause, making New York the first state to impose a statewide ban on large AI data center permits. Hochul said the one-year window would let regulators develop standards for grid reliability and environmental impacts. Business Insider reported the decision rattled developers, who warned it could shift billions of dollars in planned investment to other states.
The moratorium adds a new layer of uncertainty for an industry already facing local opposition. Business Insider previously reported on community pushback that derailed data center projects in New Hampshire. The sector relies on chips from companies like NVIDIA to power AI workloads.
Hochul has said the pause is intended to address concerns over electricity demand and water use while the state crafts a set of rules for AI infrastructure.
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