Members of the U.S. House Energy and Commerce Committee have requested the White House and FBI investigate allegations that foreign adversaries are fueling anti-data center activism, according to a report from the Bitcoin Policy Institute. The report claims that Chinese Communist Party-linked backers, specifically a network associated with Neville Singham and the Party for Socialism and Liberation (PSL), are involved in efforts to impede the construction of data centers crucial for artificial intelligence development.
This activism, manifesting in local zoning hearings, commission meetings, and protests, has reportedly stalled or blocked at least $23.6 billion in proposed data center investments. These investments are considered vital for powering the AI boom, which requires significant energy and infrastructure.
Sam Lyman, the study's author, stated that the opposition to data centers often presents a false choice between AI development and environmental concerns. He argues that the real choice is between American AI and Chinese AI, emphasizing that control over AI technology will shape the global economy's information layer.
The report indicates that Singham's network and the PSL have engaged in these local fights across 14 states. Their tactics include funding rallies, organizing petitions, door-to-door campaigns, and packing public hearings. These efforts have allegedly resulted in 10 local moratoria, one permanent ban in Monterey Park, California, and the cancellation of four projects, including a $1 billion Google proposal in Indiana and a $12 billion Blackstone-backed data center in Wisconsin.
While legitimate concerns exist regarding the aesthetic impact and utilitarian nature of data centers, the report suggests that the opposition is being amplified by misinformation. Lyman claims that talking points, particularly concerning water usage, have been significantly overstated, with some claims being exaggerated by as much as 1,000 times. He described Singham's approach as a playbook to exploit societal divisions on various wedge issues.
Groups linked to Singham have a history of promoting anti-American tech narratives, criticizing major tech companies and celebrating China's ability to circumvent U.S. export controls. More recently, they have targeted AI data centers as a point of contention against American corporate power. PSL's publications have linked data centers to increased utility bills and environmental damage, framing the national debate as a "struggle for who controls the future."
Concerns have also been raised about the transparency of PSL's funding. Lyman noted that the public record does not clearly indicate the source of PSL's funding, leaving open the possibility of foreign adversaries such as China, Cuba, or Venezuela being involved.
The report concludes by underscoring the need for vigilance, stating that foreign adversaries are actively working to prevent American advancements, and that the U.S. must continue its innovation despite these challenges. Protesters have voiced concerns about data centers, with signs reading "DATA CENTERS MEAN MONEY FOR THE RICH & POLLUTION FOR THE REST OF US!" and "Hands off our Great Lakes."