Voters curb data centers, and tech groups dispute what the midterms meant

Overview

Updated 2 hours ago

Voters in at least 38 jurisdictions approved bans or restrictions on data centers in the November 3 midterms. They also elected Democratic governors in Texas, Arizona, Georgia and Ohio, four states that had been courting data center developers.

The vote puts a large share of the US AI buildout under review. Texas alone was projected to account for more than 41 percent of new data center capacity in 2028. Industry groups argue the results were a rejection of President Trump, not of technology.

Why it matters

If the restrictions hold, the US AI buildout slows and projects may move to friendlier states or overseas.

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Key Indicators

Ballot measures restricting data centers that passed

Out of 44 tracked across 10 states by Redbud Consulting.

75%

Voters opposed to data centers

NBC News exit polling found three in four voters against the facilities.

41%

Texas share of projected 2028 data center capacity

The state was the center of the US AI buildout before the election.

13 GW

Texas data center capacity exposed to delays

Bloomberg's estimate after Gina Hinojosa won the governor's race.

$5T

Gartner estimate of the AI revenue shortfall

How far the AI boom is from paying for itself, per the research firm.

Voices

Curated perspectives — historical figures and your fellow readers.

People Involved

Gina Hinojosa

Texas governor-elect

Won the Texas governor's race in November 2026

Adam Kovacevich

Chief executive of the Chamber of Progress

Leading the industry pushback on the election results

Alejandra Montoya-Boyer

Vice president at The Leadership Conference's Center for Civil Rights and Technology

Framing the midterms as a mandate for AI rules

Brad Carson

Co-founder of Americans for Responsible Innovation

Advocating for AI rules after the vote

Gary Ng

Senior economist at Natixis Corporate and Investment Bank

Analyzing the global consequences of a US slowdown

Organizations Involved

Chamber of Progress

Tech industry trade group

Pushing back on the election results

A tech industry trade group and policy coalition that argues the midterms were not a mandate against AI.

Americans for Responsible Innovation

Advocacy group

Supporting new AI and data center rules

An advocacy group that supports government rules for artificial intelligence.

Redbud Consulting

Polling and data science firm

Tracked the data center ballot measures

A Washington, D.C. polling firm that counted the local data center measures.

OpenAI

Artificial intelligence company

Offering community commitments after the vote

An AI developer that unveiled a policy blueprint and local spending pledges after the midterms.

Natixis Corporate and Investment Bank

Financial institution

Assessing the global effects of a US slowdown

A global bank whose economists analyzed how US data center delays could shift AI computing abroad.

Timeline

October 2026 November 2026

4 events Latest: Today

Tap a bar to jump to that date

November 2026
Industry disputes the message
Today Statement

The Chamber of Progress calls the results anti-Trump, not anti-tech, while OpenAI unveils community spending commitments.
Today
Count shows 38 jurisdictions acted
Analysis

The Washington Post and NBC News report at least 38 jurisdictions passed data center bans or restrictions.
Yesterday
Voters approve data center limits
Election

Voters pass bans and restrictions across dozens of jurisdictions and elect Democratic governors in Texas, Arizona, Georgia and Ohio.
2 days ago
October 2026
Warren report faults data center cost coverage
Report

Sen. Elizabeth Warren's report found major tech companies are not covering the full infrastructure costs of their data centers.
October 2026

Scenarios

New governors sign binding data center limits

Likely Resolves by Q3 2027

Discussed by: Axios, Bloomberg and PIMCO's Libby Cantrill

Hinojosa and the new governors in Arizona, Georgia and Ohio push permitting rules, water and power requirements, and tax-incentive repeals through their legislatures. Projects already approved through 2027 proceed; new ones wait.

Buildout slows under negotiated concessions

Likely Resolves by End of 2027

Discussed by: Axios and PIMCO's Libby Cantrill

Developers keep building but agree to pay for grid upgrades, bring their own power and drop tax breaks. OpenAI's Compute Campus Policy Blueprint is an early example of the strategy.

Congress preempts state rules, or courts strike them down

Unlikely Resolves by End of 2027

Discussed by: Lombard Odier's Michael Strobaek, cited by Time

Republicans try to set federal rules that override state restrictions. Democrats can filibuster, and Trump's veto shapes any compromise.

Projects relocate to friendlier states or overseas

Possible Resolves by End of 2028

Discussed by: Natixis's Gary Ng Cheuk-yan

Developers shift planned capacity to states without new restrictions, or build hyperscale campuses outside the US. Ng says that could help China export cheaper AI computing.

Historical Context

3 moments from history that rhyme with this story — and how they unfolded.

March 1979

Three Mile Island (1979)

A partial meltdown at the Three Mile Island nuclear plant in Pennsylvania released radioactive gas and prompted evacuations. No new US nuclear plant was ordered for decades afterward.

Then

Regulators tightened rules and public support for nuclear power fell.

Now

The US nuclear buildout stalled, and the industry did not recover its construction pace for decades.

Why this matters now

Shows how a visible failure can freeze an energy buildout that had broad industrial backing.

2001-2017

Cape Wind (2001-2017)

Developer Jim Gordon proposed a 130-turbine wind farm in Nantucket Sound. Local opposition, lawsuits and financing problems delayed it for 16 years.

Then

The project lost its backers and was abandoned in 2017.

Now

US offshore wind moved to other sites and took years to restart.

Why this matters now

Local opposition can stop a project even after it clears federal review.

November 2021

Maine transmission line referendum (2021)

Maine voters approved Question 1 to block a $1 billion hydropower transmission corridor through the state's north woods. The project had already received a presidential permit.

Then

Construction halted and the case went to court.

Now

The fight showed that a statewide vote can override a federal permit for energy infrastructure.

Why this matters now

Directly parallels the ballot measures now constraining data center siting.