New York Governor Kathy Hochul announced a moratorium on data center development across the state. In an interview with NBC News’ “Here’s the Scoop,” she explained that tech companies are rapidly constructing facilities faster than the state and localities can manage.
Hochul paused state permitting for large data centers and tasked regulators with creating new standards. Local governments expressed difficulties in handling the surge in applications, especially in smaller communities. Hochul noted that these areas lack negotiation power and resources to secure the best deals or manage costs.
Hochul’s decision is part of a broader movement against data center expansion. Both parties in state legislatures have proposed similar moratoriums. National figures like Sen. Bernie Sanders and Rep. Alexandria Ocasio-Cortez support federal-level pauses.
Grassroots groups oppose data center construction due to environmental concerns and increased electricity bills. Data center proponents argue that these concerns are based on incorrect data, highlighting the economic benefits they bring.
Hochul argues that New York can thrive technologically without immediate data center expansion. She cited job growth in AI-driven sectors as evidence. Hochul emphasized that the state will welcome data centers under improved conditions in the future.
Environmental advocates rallied for the moratorium, with Hochul stating her goal is to get the policy right, not be the first to act. Her move was criticized in The Wall Street Journal, though she defended it as bipartisan. She mentioned discussions with AI companies prior to the announcement.
Hochul also addressed broader state issues, including a bid for the 2042 Olympics, election security, and recent appointments by New York City Mayor Zohran Mamdani. She praised Mamdani’s choice of Tony Shorris for NYCEDC and addressed his stance on international matters.
Hochul discussed Mamdani’s video on not having authority to arrest Israeli Prime Minister Benjamin Netanyahu during a UN visit. Mamdani called for federal action instead. Hochul agreed with Mamdani’s position, emphasizing her focus on protecting the Jewish community in New York amid rising hate crimes.