Sen. Bernie Sanders (I-Vt.) has criticized the growing AI data center boom, arguing that the U.S. should prioritize affordable housing, hospitals, schools and childcare centers instead of expanding artificial intelligence infrastructure.
Sanders Challenges AI Data Center Expansion
On Sunday, Sanders took to X to criticize the expansion of AI data centers, citing public opposition to their construction and proposing an alternative investment strategy.
“Instead of building more AI data centers, which 66% of Americans oppose, I have a better idea,” he wrote.
He suggested that the country should focus on addressing its housing shortage by building “7 million affordable homes & apartments.”
Sanders also called for greater investment in essential public infrastructure, including “more hospitals, schools & childcare centers.”
“Let’s create an economy that works for all, not just the top 1 percent,” he added.
Growing Concerns Over AI Data Center Expansion
Last month, “Shark Tank” investor Kevin O’Leary warned that 65% of announced AI data center projects might never be built because of power shortages, water constraints, connectivity issues and political opposition.
However, he expected demand for computing capacity to triple by the fourth quarter of 2027.
In August, Rep. Ro Khanna (D-Calif.) warned that data center expansion was placing environmental and infrastructure burdens on local communities.
He proposed a Data Center Bill of Rights that would allow residents to oppose projects and restrict construction in residential areas and farmland.
He also accused companies of shifting electricity, water and infrastructure costs to ordinary ratepayers.
In June, billionaire investor Mark Cuban argued that opposition to AI data centers reflected broader concerns about job displacement and wealth concentration.
He said AI companies had “lost the PR battle” by failing to address public concerns and urged them to support communities facing potential automation-related job losses.
Musk Flagged AI Data Center Challenges
In October, Space Exploration Technologies Corp. (NASDAQ:SPCX) CEO Elon Musk said demand for AI data centers remained strong but warned that securing funding did not guarantee successful construction and operation, citing the complex power, cooling and networking requirements.
His remarks came as investors raised concerns about rising borrowing costs and returns on AI infrastructure investments.
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
Photo Courtesy: OogImages on Shutterstock.com
