The rapid expansion of data centers, the foundational infrastructure for the artificial intelligence industry, has become a major flashpoint in the lead-up to the 2026 US midterm elections. Spending on these facilities has reached unprecedented levels in 2026, leading to a significant public backlash that has transformed from a local concern into a nationwide political issue. Both Democratic and Republican candidates are now adjusting their campaign strategies in response to this growing opposition, which is fueled by concerns over electricity consumption, water usage, and the environmental impact of these large-scale facilities.
While many Republicans are grappling with how to address the issue, President Donald Trump has maintained his strong support for the data center build-out, publicly stating that those against it are hindering economic progress and playing into the hands of China. This stance puts some Republican candidates in a difficult position, as polling indicates that a significant majority of Americans, across both parties, are opposed to new data centers. High-profile figures like Greg Abbott of Texas and Josh Shapiro of Pennsylvania, who were previously supportive, have also shifted their positions due to public sentiment.
In response to this mounting opposition, AI industry billionaires and their associated groups are launching substantial efforts to counter the backlash. A multi-million dollar ad campaign is underway in key election battleground states, funded by pro-AI organizations. For example, the super PAC "Leading the Future" has raised $140 million, with contributions including $50 million from Andreessen Horowitz and $25 million from OpenAI's Greg Brockman and his wife. Anthropic, through a dark money nonprofit called Public First Action, has reportedly contributed at least $40 million to a $100 million war chest. Overall, AI companies have pledged approximately $265 million to super PACs and political groups for the 2026 elections, making them a leading industry in political spending this cycle.
This influx of AI-related political spending is aimed at shaping the narrative around data centers and supporting pro-AI candidates, even in obscure races. The strategy mirrors that of the cryptocurrency industry in 2024, focusing on direct intervention in elections. An example of this was seen in New York's 12th congressional district primary, where AI-aligned groups spent an estimated $27 million, ultimately leading to the defeat of a state assemblyman who had authored an AI safety law. Ironically, the winning candidate supports a temporary national moratorium on data center construction.
The public's opposition stems from widespread concerns that data centers drive up electricity prices and strain local water supplies due to the cooling demands of the massive facilities. An estimated two-thirds of data centers built since 2022 are located in areas already experiencing high water stress. States like New York have even implemented temporary moratoriums on large data center construction, highlighting the urgency of the issue for communities nationwide. The projected demand for power from data centers in the U.S. is expected to double by 2027, exacerbating these concerns.
