After the midterms, things are looking rocky for Elon Musk and data centers
News Source
β’Sat, 07 Nov 2026 22:07:22 +0000
π° What Happened
Democrats won big in this week's US midterm elections. The result could change a lot for the tech industry. In dozens of local votes, people rejected plans for data centres.
Voters also elected politicians who promised to limit data centres. In Texas, the new governor-elect, Gina Hinojosa, campaigned on that promise. TechCrunch's Equity podcast discussed what this means for companies.
π The Backstory
Data centres use huge amounts of power and water. They have become a local issue as more are built near towns, with residents worried about bills, noise and land. Elon Musk gave around half a billion dollars to Republicans, and his companies are based in Texas, which has now turned strongly Democratic. One podcast guest said he got almost nothing for the money.
Companies are already reacting. OpenAI has said it can change its policies, according to the podcast.
π― Why It Matters
Data centres help decide your power bills, your water supply and local jobs. When neighbours vote them down, companies have to listen or build somewhere else.
Democrats won big in this week's US midterm elections. The result could change a lot for the tech industry. In dozens of local votes, people rejected plans for data centres.
Voters also elected politicians who promised to limit data centres. In Texas, the new governor-elect, Gina Hinojosa, campaigned on that promise. TechCrunch's Equity podcast discussed what this means for companies.
Data centres use huge amounts of power and water. They have become a local issue as more are built near towns, with residents worried about bills, noise and land. Elon Musk gave around half a billion dollars to Republicans, and his companies are based in Texas, which has now turned strongly Democratic. One podcast guest said he got almost nothing for the money.
Companies are already reacting. OpenAI has said it can change its policies, according to the podcast.
Data centres help decide your power bills, your water supply and local jobs. When neighbours vote them down, companies have to listen or build somewhere else.