UII UPDATE 363 | MAY 2025
Intelligence Update

In the US, data center pushback is all about power

In December 2024, Uptime Intelligence predicted that data centers would become increasingly subject to political interference during and beyond 2025 (see Data center resource use will raise deep questions — and opposition). This report takes the US as an example of how this is happening.

The US Federal government (the current administration as well as earlier ones) has become increasingly supportive of data centers, as shown by its designation of the sector as crucial national infrastructure (see More scrutiny and obligations as governments back data centers) and its public drive for AI supremacy (see AI supremacy: how will the new US GPU export controls work?). The US Department of Energy has identified 16 of its own sites as potential locations for data centers — locations where power infrastructure already exists or could be swiftly permitted. Many states continue to offer tax and other incentives to encourage the siting of data centers.

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