Newsom dodges the data-center clash in the AI era

1 min read
Source: Politico
TL;DR Summary

California Gov. Gavin Newsom has avoided taking a hard stance on data-center development amid the AI boom, framing them as critical digital infrastructure while regulators study their cost to ratepayers. Unlike some fellow Democrats pursuing moratoriums or stricter disclosures on water and electricity use, Newsom emphasizes innovation and safeguards, leveraging his Silicon Valley ties to stay away from a high-profile policy fight. His approach may protect tech-friendly support ahead of a 2028 race but draws scrutiny from environmental groups and communities concerned about energy and costs.

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