President Donald Trump on Wednesday criticized New York’s new pause in developing AI data centers, arguing that the state is rejecting one of the biggest economic opportunities from the AI boom. “One of the biggest drivers of employment in the future is data centers,” Trump wrote in Truth Social, calling the facilities “money machines” and
President Donald Trump on Wednesday criticized New York’s new pause in developing AI data centers, arguing that the state is rejecting one of the biggest economic opportunities from the AI boom.
“One of the biggest drivers of employment in the future is data centers,” Trump wrote in Truth Social, calling the facilities “money machines” and “cash cows” that generate jobs and tax revenue. He urged New York to change course “IMMEDIATELY,” arguing that companies would build projects in states such as Texas, Arizona, Alabama and Florida.
The president’s post comes a day after New York Gov. Kathy Hochul announced a one-year pause on permitting for new hyperscale data centers while state regulators develop standards for energy- and water-intensive facilities.
The move makes New York the first state to impose a statewide moratorium on large AI data centers.
Business Insider previously reported that the decision rattled developers, who warned it could spur billions of dollars in investment elsewhere.
Hochul has said the pause is intended to give the state time to address concerns about grid reliability, water use and other environmental impacts while crafting a long-term framework for AI infrastructure.
Trump’s comments also come as data centers have become an increasingly contentious flashpoint across the country.
Business Insider has reported on local opposition that derailed projects in New Hampshire and on high-profile debates over whether communities should adopt AI infrastructure despite concerns about electricity demand, water use and tax incentives.
