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Tom’s Hardware
Tom’s Hardware
Technology
Jowi Morales

Elizabeth Warren, other U.S. senators concerned about big tech pushing up electricity costs — demands explanation from Amazon, Google, Meta as AI data centers drive up residential energy bills

Data center power.

Three U.S. Senators — Elizabeth Warren, D-Mass., Chris Van Hollen, D-Md., and Richard Blumenthal, D-Conn. — are looking at how AI data center operations across the country are impacting the cost of electricity for the average American consumer. According to The New York Times, the legislators sent letters to seven tech companies, including Amazon, Google, Meta, Microsoft, CoreWeave, Digital Realty, and Equinix, saying that the massive power demands of the AI data centers they’re building have forced utility companies to spend billions of dollars to upgrade their systems.

“We write in light of alarming reports that tech companies are passing on the costs of building and operating their data centers to ordinary Americans as A.I. data centers’ energy usage has caused residential electricity bills to skyrocket in nearby communities,” the letter said. It also mentioned that “Utility companies have spent billions of dollars updating the electrical grid to accommodate the unprecedented energy demands of A.I. data centers and appear to recoup the costs by raising residential utility bills.”

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