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Data centers expected to use 4x more electricity by 2035
United States🏛️ PoliticsLean Conservative10 days ago

Data centers expected to use 4x more electricity by 2035

According to a report from BloombergNEF, data centers are projected to consume four times more electricity by 2035 compared to current levels, accounting for one-fifth of all electricity generated in the United States. This increase is driven largely by the growing demand for artificial intelligence (AI) computing, which is expected to expand data center capacity to nearly 200 gigawatts within the next decade. Nearly half of this capacity will be dedicated to AI training and inference, with the U.S. hosting 64% of AI chip power demand by 2033. Multiple forecasting organizations, including EPRI and S&P Global Market Intelligence, have revised their estimates upward, reflecting rapid data center expansion. In regions like PJM Interconnection (covering parts of the eastern U.S.) and ERCOT (Texas), data centers are anticipated to consume significant portions of available electricity, straining existing infrastructure. Despite these challenges, data centers continue to seek connections to these grids, highlighting the intensity of demand.

Anti-data center movements are gaining traction across the United States, with multiple states implementing or considering moratoriums on new data center developments. This shift has placed labor unions at the center of a growing political and ideological conflict, as they advocate for the construction of these facilities, arguing that they are essential for economic growth and job creation. Meanwhile, environmental activists and community organizers are pushing back, citing concerns over resource consumption, environmental degradation, and rising electricity costs. The debate has reached a critical juncture, particularly in New York, where Governor Kathy Hochul recently signed the nation’s first statewide moratorium on large-scale data center construction. Hochul explained that the decision was driven by the overwhelming volume of applications from small communities struggling to manage the rapid influx of proposals. “There are so many applications in primarily small communities across the state of New York,” she stated in an interview with NBC News. “Localities aren’t quite sure how to manage this.” She emphasized that local governments lacked the resources and influence to negotiate favorable terms with tech companies, which often seek to secure low-cost power or avoid contributing to grid upgrades. This move has been framed as a broader national effort to regulate the explosive growth of data centers, which are central to the advancement of artificial intelligence and cloud computing. The push for moratoriums has gained bipartisan support, with state legislators from both parties proposing similar measures. At the federal level, figures such as Senator Bernie Sanders and Representative Alexandria Ocasio-Cortez have called for a national pause on data center construction, citing environmental and social justice concerns. Labor unions, however, have taken a firm stance in favor of data center development, positioning themselves as key allies in the AI-driven economic transformation. Leaders like Patrick Crowley of the Rhode Island AFL-CIO argue that data centers are indispensable to the digital economy and that union involvement ensures that these projects adhere to high labor and environmental standards. “We’d rather see a data center built in a state like Rhode Island that has strong labor standards as well as strong environmental standards,” Crowley said. “Instead of in a state that’s a right-to-work state with weak environmental standards.” Support for data centers is evident in several states, including California, Illinois, Minnesota, and Pennsylvania, where unions are actively lobbying for policies that encourage their construction. For example, Climate Jobs Illinois, a group aligned with the state’s AFL-CIO, wrote a letter to Governor JB Pritzker urging him to maintain incentives for data centers while ensuring they create union jobs and protect residents' rights. Despite these efforts, Pritzker has announced plans to temporarily halt the processing of data center agreements while his administration works on a comprehensive framework that balances economic growth with environmental protection and consumer interests. Meanwhile, projections from BloombergNEF indicate that U.S. data centers could account for nearly 20% of the nation’s electricity consumption by 2035, significantly increasing the strain on the power grid. This surge in demand is already prompting utilities to invest heavily in new infrastructure, with the Edison Electric Institute estimating nearly $208 billion in planned investments for 2025 alone. Experts warn that these costs could lead to higher electricity bills for households, especially as data centers continue to outpace supply in certain regions. In the PJM Interconnection region, which serves millions of residents across 13 states, data center activity has been identified as a primary contributor to rising electricity demand. Recent reports show that data centers have contributed over $6 billion to capacity charges within the region, further reinforcing concerns about the financial implications of unchecked expansion. Legal scholars and energy analysts emphasize that regulatory frameworks play a crucial role in determining how these costs are distributed, with calls for reforms that hold data center operators accountable for the infrastructure they rely upon. As the political landscape continues to evolve, the clash between anti-data center advocates and labor unions is becoming increasingly polarized. While some states are moving toward stricter oversight, others are doubling down on pro-development policies, reflecting deeper divides over the role of technology in shaping the future of work and sustainability. The coming months will likely see heightened scrutiny of data center projects, with policymakers, unions, and environmental groups vying for influence over the trajectory of this rapidly expanding industry.

Go to the primary sources (6)

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6 reports

Newsweek logoNewsweekIndependentCenterFactual 85Objective 7510 days ago
Anti-Data Center Movement Is on Collision Course With Labor Unions

Newsweek reports on the growing conflict between anti-data center activists and labor unions in the United States. Concerns over environmental impact, water usage, and community disruption have led to calls for a moratorium on new data centers. However, labor unions are supporting their construction, seeing them as opportunities for well-paying union jobs. This stance creates political tension within Democratic circles, where environmental groups and labor unions typically align. Union leaders argue that properly regulated data centers can coexist with strong labor and environmental standards, emphasizing the need for oversight to prevent negative impacts. Examples include unions in states like California, Illinois, Minnesota, and Pennsylvania advocating for policies that encourage data center development while ensuring worker protections.

Bias read (Center): The article presents a balanced view by highlighting both the criticisms of data centers from environmental and community perspectives and the support from labor unions for their economic benefits. While there is political tension within the Democratic Party, the article does not take a clear side,報

Why factuality (85): The article provides a balanced overview of the debate surrounding data centers, mentioning both criticisms related to the environment, water usage, and community impact, as well as the support from labor unions and the economic benefits associated with the AI boom. It includes quotes from Patrick C

Why objectivity (75): The article presents both sides of the issue fairly but uses some framing that emphasizes the political tensions within the Democratic party, which may subtly influence the reader's perception. The tone remains largely neutral overall, though it leans slightly toward highlighting the conflict betwee

Newsweek logoNewsweekIndependentCenterFactual 85Objective 7514 days ago
How Data Centers Could Spike US Electricity Bills By 2035

The article discusses how the rapid growth of AI and cloud computing, particularly through expanding data centers, could significantly increase U.S. electricity consumption by 2035. A BloombergNEF analysis predicts that data centers may account for 20% of national electricity use by then, up from 5.9% currently. This surge in demand could lead to higher electricity bills for households if the associated infrastructure costs are passed on to consumers. Experts like Ari Peskoe from Harvard Law School argue that current regulations allow data centers to avoid bearing the full cost of necessary grid upgrades, potentially shifting these expenses to general ratepayers. The article notes that increased competition and direct contracts between data centers and private power producers might mitigate some of these effects. Overall, the rise in demand for electricity due to AI-driven data centers is expected to strain existing infrastructure and influence pricing structures.

Bias read (Center): The article presents a balanced discussion of the issue, citing both the projected impact on electricity bills and expert opinions on regulatory solutions. While it highlights concerns about rising costs, it does not take a clear ideological stance on how to address the problem. Instead, it focuses,

Why factuality (85): The article cites BloombergNEF and provides detailed projections about data center electricity consumption by 2035, including comparisons to past forecasts. It includes expert commentary from Ari Peskoe, which supports the factual claims. The information aligns with the cross-source consensus seen i

Why objectivity (75): The article presents the information in a neutral tone, discussing the potential impact on consumers and regulatory considerations. However, it emphasizes the concerns around cost allocation and consumer impact, which may slightly lean towards a critical view of the current regulatory framework.

TechCrunch logoTechCrunchIndependentCenterFactual 85Objective 7515 days ago
Data centers expected to use 4x more electricity by 2035

According to a report from BloombergNEF, data centers are projected to consume four times more electricity by 2035 compared to current levels, accounting for one-fifth of all electricity generated in the United States. This increase is driven largely by the growing demand for artificial intelligence (AI) computing, which is expected to expand data center capacity to nearly 200 gigawatts within the next decade. Nearly half of this capacity will be dedicated to AI training and inference, with the U.S. hosting 64% of AI chip power demand by 2033. Multiple forecasting organizations, including EPRI and S&P Global Market Intelligence, have revised their estimates upward, reflecting rapid data center expansion. In regions like PJM Interconnection (covering parts of the eastern U.S.) and ERCOT (Texas), data centers are anticipated to consume significant portions of available electricity, straining existing infrastructure. Despite these challenges, data centers continue to seek connections to these grids, highlighting the intensity of demand.

Bias read (Center): The article presents factual projections and quotes multiple independent forecasting organizations without overtly favoring any particular political stance. While it discusses the impact of data center growth on energy infrastructure, it does not frame the issue in terms of political ideology, nor d

Why factuality (85): The article cites BloombergNEF as the source and provides specific projections about data center electricity usage by 2035. It mentions the increase in forecasts from multiple organizations like EPRI and S&P, showing alignment with cross-source consensus. However, it doesn't provide the actual prima

Why objectivity (75): The article presents the information in a neutral tone, discussing the implications of increased data center usage without overtly criticizing or praising the technology sector. However, there is a slight editorial tilt in mentioning the strain on utilities and the potential threat of American Elect

RealClearPolitics logoRealClearPoliticsIndependentConservativeFactual 85Objective 6015 days ago
Trump's Data Center Boosterism Is a Gift to Democrats

President Donald Trump criticized New York Governor Kathy Hochul's decision to impose a one-year moratorium on the construction of large, energy-intensive data centers. In a post on his social media platform, Truth Social, Trump called the policy a mistake and accused the 'Radical Left Dumocrats' of jeopardizing U.S. technological leadership by allowing data centers, artificial intelligence, and technology to be lost to China and other countries. The moratorium was aimed at addressing environmental concerns and regulatory challenges associated with these facilities.

Bias read (Conservative): The article frames the moratorium as a harmful policy imposed by 'Radical Left Dumocrats,' using loaded language such as 'Radical Left' and 'lose to China.' This suggests a right-leaning perspective that views Democratic policies as detrimental to American technological interests. The emphasis on 'D

Why factuality (85): The article accurately describes Governor Hochul's executive order and Trump's response, based on publicly available information. It provides context about the policy and its implications for data centers and AI development. The facts are consistent with other reporting on the issue.

Why objectivity (60): The article has a clear political leaning, favoring Republican perspectives and using emotionally charged language such as 'Radical Left Dumocrats' and 'lose Data Centers, AI, and all of this incredible new Technology'. This undermines its objectivity.

NBC News logoNBC NewsIndependentCenterFactual 80Objective 7013 days ago
New York Gov. Kathy Hochul explains why she signed the first statewide moratorium on data centers

New York Governor Kathy Hochul signed the nation's first statewide moratorium on large data center development, citing concerns that tech giants are outpacing state and local regulatory capacity. In an NBC News interview, Hochul explained that small communities are overwhelmed by rapid application volumes and lack the resources to negotiate favorable terms with corporations. The moratorium aims to establish new state standards for data centers before allowing future projects. Hochul emphasized that New York can still participate in the AI economy without immediate data center expansion, pointing to AI-driven job growth on Wall Street. The decision reflects broader national debates over data center development, with bipartisan state legislation and federal advocacy pushing for restrictions, while industry supporters argue for economic benefits.

Bias read (Center): The article presents Hochul's reasoning for the moratorium without overt ideological slant, balancing her arguments with mentions of opposition groups and industry advocates. While Hochul frames the issue as a necessary regulatory step, the piece avoids taking sides beyond quoting her statements and

Why factuality (80): The article accurately reports Governor Hochul's actions and quotes her directly. It references the broader national debate over data centers and mentions political figures advocating for moratoriums. While it doesn't include the primary source document, the information aligns with public records of

Why objectivity (70): The article frames the issue as one where local governments are struggling against tech giants, suggesting a bias toward local authorities. The inclusion of quotes from Hochul and references to opposition figures like Ocasio-Cortez implies a certain perspective on the conflict, though it remains rel

The Hill logoThe HillIndependentConservativeFactual 30Objective 5019 days ago
Sacks argues US is 'tying itself in knots' over AI after release of new Chinese model

David Sacks, former White House AI and cryptocurrency advisor, criticized the United States for being overly cautious and restrictive regarding artificial intelligence, arguing that this approach risks America's global competitiveness. His comments came after the launch of Kimi K3, a new large-language model developed by the Chinese startup Moonshot AI, which has caused concern within the American AI sector. Sacks suggested that the U.S. regulatory environment is creating unnecessary obstacles for innovation and could allow China to gain an advantage in the rapidly evolving field of AI technology.

Bias read (Conservative): The article frames concerns about U.S. regulation of AI as potentially harming national competitiveness, aligning with right-leaning perspectives that emphasize economic strength and technological leadership. The focus on China's advancements and the critique of U.S. caution suggest a narrative that

Why factuality (30): The article discusses a new Chinese AI model and U.S. reactions but does not mention the Hugging Face incident or its details. It is unrelated to the primary source document.

Why objectivity (50): The article takes a critical stance towards U.S. AI policy and mentions a new Chinese model without connecting it to the Hugging Face incident. It lacks neutrality and focuses on political commentary.

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