President Donald Trump said Wednesday that data centers could use "a little public relations help" as opposition to new AI infrastructure projects grows across the U.S.
Trump made the remarks during a White House event with cryptocurrency executives and technology leaders. Asked about people who remain reluctant to embrace the evolution of AI, Trump said the technology would create jobs, drive innovation and generate economic activity.
Trump said that if he were the mayor of a town or governor of a state with an opportunity to bring an AI plant or data center to the community, he "would absolutely want it" because "the jobs are enormous" and the taxes paid are "just enormous."
He also warned that communities that reject such projects could be "left behind," saying there are plenty of other places that want the investment.
"Maybe it can use a little public relations help, but if I were a governor or mayor, I would want that plant in my community," Trump said.
Data Center Rules Face Scrutiny
The comments come as some state officials move to put stricter requirements on AI data center development.
Pennsylvania Gov. Josh Shapiro (D-Pa.) signed an executive order Tuesday imposing new energy, environmental and transparency requirements on data center developers. The rules give local communities more control over proposed projects and require developers to address electricity costs and other impacts.
Shapiro said the rules were needed after residents raised concerns about utility bills, environmental effects and the impact of data centers on local communities.
The move follows New York Gov. Kathy Hochul (D-N.Y.) imposing a statewide pause of up to one year on new hyperscale data centers requiring 50 megawatts or more of power. Trump previously called that move a "terrible decision," arguing that investment, jobs and tax revenue could move to states more willing to host the facilities.
Data Center Benefits Vary By Community
New research from Georgia Tech found that data centers can produce economic benefits for host counties, but those gains vary significantly by location.
Metropolitan counties recorded larger increases in employment, wages, business activity and household income, while rural communities saw more limited spillover benefits. The study also found that retail electricity prices rose about 5% in areas where the impact could be measured after a data center became operational.
The researchers said communities should consider infrastructure costs, tax incentives and electricity pricing when evaluating data center projects, rather than focusing only on the size of the investment.
AI Demand Continues Despite Moratoriums
CoreWeave Inc. (NASDAQ:CRWV) CEO Mike Intrator said during the company’s second-quarter earnings call that data center moratoriums would not reduce demand for AI infrastructure, but could affect where projects are built.
"Moratoriums, they are not going to impact the demand for this infrastructure. They are going to impact where this infrastructure gets built," Intrator said.
CoreWeave said it had 4.2 gigawatts of contracted power, along with roughly 1.5 gigawatts of additional powered-land options and letters of intent, giving the company visibility into nearly 6 gigawatts.
The comments come as AI infrastructure investment continues to expand while states and communities debate how to manage the industry’s electricity, infrastructure and economic impact.
Disclaimer: This content was produced with the help of AI tools and was reviewed and published by Benzinga editors.
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