- Trump says data centers are good for communities because they create jobs and fund their own electricity and water.
- New York State just banned major projects for a year to focus on developing new guidelines.
- Trump fears ongoing bans could cause US to lose global AI race
US President Donald Trump has criticized New York Governor Kathy Hochul’s recent executive order to introduce a one-year statewide ban on large-scale data centers, urging the state to change its position “immediately.”
In an article on Truth Social, Trump called data centers “money machines” that create taxes and jobs comparable to “liquid gold,” implying that they are not only crucial to cloud computing and AI, but also to the country’s economy.
Although states like “Alabama, Florida, Texas, Arizona” and others may now see more projects moved under ongoing moratoriums, Trump is concerned about the implications of this “terrible decision.”
Trump hits back at New York state moratorium
The executive order, signed by Governor Hochul on July 14, 2026, makes New York the first U.S. state to impose a statewide moratorium on new data centers – in this case, those requiring more than 50 MW of power.
Despite growing local opposition to building data centers in the United States, and even around the world, Trump says these are “huge victories for the states and communities lucky enough to get them” given that they create jobs and are responsible for “their own water and electricity.”
It is important to note that New York State’s one-year ban is exactly that: a temporary ban intended to give the state sufficient time to review environmental and social impacts and rewrite legislation and guidelines accordingly.
Urging Governor Hochul to “change policy immediately,” Trump says ongoing moratoriums like these could cause the United States to lose out to “China and other countries” in what is shaping up to be a global AI race.
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