New York Governor enacts data center moratorium
Governor Kathy Hochul has enacted a one-year moratorium on new large data center projects in New York. The article, an opinion piece, argues this ban will severely harm investment, jobs, tax revenues, and technological innovation, potentially undermining America's global competitiveness in AI. It criticizes New York's approach as mirroring the European Union's
Adam Thierer, a resident senior fellow with the Technology and Innovation team at the R Street Institute, has criticized New York Governor Kathy Hochul's implementation of a one-year moratorium on new large data center projects. In an opinion piece, Thierer argues that this ban will have significant negative consequences, including lost investment, fewer jobs, diminished tax revenues, and potentially forgone life-saving innovations, thereby hindering America's global technological supremacy in the AI age.
The article emphasizes the vital role of data centers as the engines of the modern digital economy, powering all aspects of digital life and driving record-setting private sector investment. It cites the Federal Reserve Bank of St. Louis, which found that AI-related investments significantly contributed to real GDP growth in 2025, surpassing the dot-com boom. Morgan Stanley projects nearly $3 trillion in AI project spending through 2028.
Thierer contends that New York's regulatory stance, including over 200 pending AI-related bills, mirrors the European Union's