Administration may force data center builders like Meta to 'internalize' costs (www.cnbc.com)

The Trump administration is considering a policy requiring data center builders, including major tech companies like Meta, to internalize utility costs, including electricity and water, associated with their operations. This move is in response to rising electricity prices and the strain data centers place on the U.S. electricity grid, which has contributed to increasing bills for consumers. Peter Navarro, Trump's trade and manufacturing adviser, emphasized that these companies need to contribute to the infrastructure they impact, although specific implementation details remain unclear. This potential regulation is significant for the AI/ML community, as it highlights the growing concerns around the environmental and economic impact of data centers, which are crucial for powering AI technologies. While Meta has stated that it already covers its energy costs and contributes to local infrastructure, the looming policy could lead to increased operational expenses for data center operators, potentially affecting AI development and accessibility. As tech companies prepare for potential regulatory changes, the collaboration with grid operators like PJM could shape future power generation strategies, targeting sustainability while addressing consumer affordability amid rising utility costs.