Big tech, local concerns: a warning for Ireland from Texas
The US midterms show why businesses must make their contribution to communities clear, as concerns over rising costs and infrastructure reshape the politics of tech investment.
“Let Data Reign,” Donald Trump declared as opposition to data centres gathered pace across the United States, misreading concerns that Democrats would turn to their advantage. Anxiety over rising bills and resentment of corporate influence fuelled a backlash against Big Tech, exposing the limits of a message built around investment and economic growth.
For Ireland, where the Government has presented data centre expansion as a driver of prosperity, the warning extends to policymakers and businesses alike: investment does not automatically translate into public or political support.
In a country that seems ever more divided, opposition to data centres in the United States has emerged as a surprising unifying force, bringing together voters across party lines. A June Reuters/Ipsos poll found that 77% of Americans were concerned that AI would make electricity more expensive, while two thirds of Democrats and half of Republicans said they would oppose a data centre in their community.
Those concerns became a core campaign issue, with candidates recognising the appeal of challenging an industry whose demands on local infrastructure are increasingly difficult to ignore. By September, an NPR analysis of AdImpact data had identified more than $45 million spent on advertising mentioning data centres across gubernatorial, House and Senate races. Around 125 Democratic campaigns targeted opponents over data centres and their ties to the tech industry, according to the Tech Oversight Project.
Texas is the clearest example. After years of welcoming technology companies from California and celebrating Austin’s “Silicon Hills”, voters elected James Talarico to the Senate and Gina Hinojosa as governor, two Austin area Democrats who challenged whether the technology boom was delivering for ordinary Texans.
Big tech exposed
“Texas is the epicenter of AI development,” Republican Greg Abbott declared when announcing Google’s $40 billion investment in November 2025. His successor’s call for a moratorium on new data centres until stronger community protections are introduced marks a striking change of direction in a state accounting for more than a quarter of planned US capacity by 2030.
Abbott had already moved towards restrictions before polling day, while Trump suggested that developers pay communities a “dividend” to make data centres more popular. Both recognised the need to demonstrate a local return, but their interventions may have come too late to recover ground already conceded.
The shift leaves ‘Big Tech’ exposed, particularly Elon Musk. Despite directing approximately $224 million in political donations towards Texas during the election cycle, both Abbott and Republican Senate nominee were wiped out by a blue Texan wave. With SpaceXAI also exploring data centre expansion in the state, his businesses must now prepare for the prospect of tighter controls under the politicians his spending sought to keep out of office.
But the shift extends beyond Texas, with Democratic candidates promising tighter controls on data centre development also winning key races in Georgia and Ohio. In Ohio, The Times spoke to Brandyn Bernard, a lifelong Republican who voted for Democrat Sherrod Brown over concerns about a proposed data centre near his home. “I never thought I’d even help a Democrat candidate,” he said, illustrating how local concerns can outweigh longstanding party loyalties.
Lessons for Irish corporates
Taken together, these developments point to a growing political risk for the data centre industry: public opposition is no longer confined to local campaigns, but is increasingly influencing electoral outcomes and decisions on future development. The scale of the shift was reflected in NBC News exit polling, which found that 56% of voters considered AI data centres a major or crucial factor in their Congressional voting decision. This sentiment was also tested directly at the ballot box, with more than 40 data centre-related ballot measures across ten states putting development decisions before local communities. Results, at the time of writing, indicated widespread support for restrictions.
For businesses watching from Ireland, the warning is how quickly public concern can change the terms on which investment is welcomed. Promises of economic benefit offer little assurance when communities believe their interests have been overlooked.
Pressures are already emerging here. Data centres’ share of Ireland’s metered electricity consumption rose from 5% in 2015 to 23% in 2025, approaching the 28% consumed by all households combined. September’s Irish Times/Ipsos B&A poll found that 61% of voters supported stopping construction “for the time being at least”, suggesting that an industry central to the country’s economic success faces an increasingly difficult task in maintaining public support for its expansion.
Opposition parties have recognised the political opening, with the Social Democrats proposing a public register of data centres’ locations, energy requirements and water use, while Sinn Féin has challenged the costs households bear in expanding the electricity grid. These interventions are shaping a wider debate about how Ireland balances its ambitions for further tech investment with the capacity of its energy, water and wider infrastructure to support that growth.
Responding to growing concerns, the Government is now requiring new data centres to support additional renewable generation, but businesses must also demonstrate how their projects will benefit local communities. Announcements of investment and jobs need to be supported by clear explanations of what communities will gain, how demands on infrastructure will be managed and who will bear the costs.
All politics in Ireland is local, and effective engagement starts with understanding priorities and building relationships. Targeted conversations with residents, community groups and elected representatives help businesses address concerns and explain their contribution in terms that matter locally. Some opposition should be expected, but maintaining dialogue and showing a willingness to adapt plans by ‘meeting in the middle’ can help build trust and soften the potential for backlash.
This work must begin before concerns and opposition harden in stance. The lesson from Texas is that investment cannot be left to speak for itself: public support must be earned through tangible benefits, trusted relationships and clear, consistent communication.
Oisín Johnston, Account Manager
Photography credits: Brandon Bell/Getty Images