A backlash against AI data centers is spreading to state governments, which is bad news for AI companies looking to expand and a win for communities fighting the projects.

• New York State has moved to ban new data center construction.
• Texas Governor Greg Abbott has put a one-year hold on data center buildouts, using an audit process.
• Public unease is driven by AI developers themselves, who talk more about the technology destroying humanity than curing cancer.
• Abbott's move drew accusations of hypocrisy — cracking down on data centers while ignoring child trafficking in his own state.

Outlook: More states are likely to follow with their own moratoriums or bans as local opposition to AI buildouts hardens.