Trump Announces Data Center Electricity Deal With Big Tech During State of the Union

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A data center owned by Amazon Web Services, front, is under construction next to the Susquehanna nuclear power plant in Berwick, Pa., on Jan. 14, 2024. Ted Shaffrey/AP PhotoPresident Donald Trump announced during his State of the Union address Feb. 24 that his administration has secured agreements with tech companies to pay a greater share of the costs that electric utilities—and their residential customers—incur when data centers and other high-tech “large load” users boost demand and stress supply.The president introduced “a rate payer protection pledge” in which tech companies, or “hyperscalers,” agree to pay more for electricity used to power data centers and vow to “pay their own way” to ensure their high demand for electricity does not affect utility consumers’ bills.

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