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OpenAI, Blackstone and unions form a data centre alliance, Axios reports

OpenAI, Blackstone, and Unions Form Data Centre Alliance

Background

Axios reports that OpenAI, Blackstone, QTS, SoftBank, and five US unions have formed an alliance known as the American Infrastructure Alliance. Their goal is to campaign in seven states for data centre standards rather than moratoriums.

Key Points:

  • Campaign Focus (2027): The group aims to agree on data centre standards with state and local officials by 2027.
  • States Targeted: Texas, Georgia, Ohio, Iowa, Pennsylvania, Indiana, and South Carolina.
  • Budget: Described as a "multimillion-dollar coalition" with a spokesperson citing it as a "high eight-figure campaign".
  • Union Support: The alliance includes four additional unions: SMART (sheet metal workers), Heat and Frost Insulators, Iron Workers, and the United Association of Plumbers.
  • Goals:
    • Promote responsible data centre growth.
    • Ensure companies cover infrastructure costs, create jobs, and pay local taxes.
    • Reach agreements with communities on noise, lighting, construction, and distance from homes.

Backlash and Actions:

  • Public Opinion (Ohio Poll): The alliance's poll found 18% viewed data centres favorably while 67% were unfavorable. Support improved to 60% against 34% when companies pledged to cover costs and contribute locally.
  • State Actions: New York, Texas, Pennsylvania, and other states have already implemented data centre restrictions, either through freezes, halted approvals, or tighter regulations.

Quotes:

"Blanket bans on necessary infrastructure projects would set back our economy and threaten good middle-class jobs," - Kenneth Cooper, IBEW (electrical workers' union).

"Responsible growth requires clear expectations for everyone involved," - Tag Greason, QTS co-CEO.

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