{"id":5912,"date":"2026-08-24T17:38:30","date_gmt":"2026-08-24T17:38:30","guid":{"rendered":"https:\/\/crosscountrymovingteams.com\/?p=5912"},"modified":"2026-08-24T17:38:30","modified_gmt":"2026-08-24T17:38:30","slug":"greg-abbott-turned-from-data-center-epicenter-booster-to-skeptic-and-trump-is-calling-it-an-economic-mistake","status":"publish","type":"post","link":"https:\/\/crosscountrymovingteams.com\/?p=5912","title":{"rendered":"Greg Abbott turned from data center \u2018epicenter\u2019 booster to skeptic\u2014and Trump is calling it an economic \u2018mistake\u2019"},"content":{"rendered":"<div>\n<p>\u201cThey basically dug their own grave for the problem that\u2019s been caused for them, and that\u2019s why they got the backlash they deserve,\u201d Abbott said in an interview on ABC News\u2019 <em>This Week<\/em>. The Republican governor argued that companies rushed facilities into communities with little advance notice or engagement, fueling anger over electricity demand, water consumption and neighborhood disruption.<\/p>\n<p>Read more <a href=\"https:\/\/crosscountrymovingteams.com\/?p=5910\">\u2018It\u2019s hard to know exactly what the objective of DOGE was\u2019: Former IRS boss warns Elon Musk\u2019s cuts to the tax agency will be felt in years to come<\/a><\/p>\n<p>The rhetorical shift has been accompanied by concrete regulatory action. Earlier this month, Abbott directed the Public Utility Commission of Texas (PUCT) and the Electric Reliability Council of Texas (ERCOT) to halt new grid-connection approvals for data centers until regulators complete a \u201ccomprehensive verification and audit\u201d of pending projects, according to the Governor\u2019s office and Houston Public Media.<\/p>\n<div>\n<div>\n<div><\/div>\n<\/div>\n<\/div>\n<p>The comments mark a striking reversal for a governor who spent years courting the data center industry as the cornerstone of his effort to brand Texas the \u201cepicenter\u201d of AI investment. They also land amid an unusual public rift with President Donald Trump, who has called Abbott\u2019s crackdown an economic \u201cmistake\u201d \u2014 and at a moment when Texas\u2019 dominance of the industry\u2019s pipeline is larger than Wall Street analysts had previously appreciated.<\/p>\n<p>The rhetorical shift has been accompanied by concrete regulatory action. Earlier this month, Abbott directed the Public Utility Commission of Texas (PUCT) and the Electric Reliability Council of Texas (ERCOT) to halt new grid-connection approvals for data centers until regulators complete a \u201ccomprehensive verification and audit\u201d of pending projects.<\/p>\n<h2>A Texas-sized bet<\/h2>\n<p>The scale of the buildout Abbott shows up in independent market research. An August 16 analysis by Apollo Global Management\u2019s chief economist, Torsten Sl\u00f8k, found that Texas alone accounts for roughly 100 gigawatts of planned data center capacity, citing data from Cleanview \u2014 more than the next two largest states, Virginia and Utah, combined. Slok wrote simply that \u201cthe data center boom is a Texas story.\u201d<\/p>\n<div>\n<div><\/div>\n<\/div>\n<p>That dominance is almost entirely prospective, however. Virginia still leads the nation on capacity that is actually up and running, at 17 GW, versus Texas\u2019s much larger pipeline of proposed projects, meaning that Texas isn\u2019t yet the country\u2019s biggest data center market in operation \u2014 it\u2019s on track to become the biggest by a wide margin if even a fraction of that planned capacity gets built. That gap between what\u2019s proposed and what\u2019s actually constructed is the bottleneck Abbott\u2019s new audit is designed to address.<\/p>\n<h2>From booster to skeptic<\/h2>\n<p>Abbott\u2019s tone has shifted markedly since data center proposals began drawing organized resistance in towns from Abilene to Sulphur Springs. Residents have packed local planning meetings, filed petitions, staged protests and pursued legal challenges against projects they say will strain power grids, drain water supplies and generate constant noise.<\/p>\n<div>\n<div>\n<div><\/div>\n<\/div>\n<\/div>\n<p>The governor now attributes much of that backlash to the industry\u2019s own conduct. \u201cGaining the support of people in local communities is essential,\u201d Abbott said, framing local buy-in as a prerequisite for future approvals. \u201cIf you\u2019re a data center and you want to operate in Texas, you have to first get the approval of those in local communities.\u201d<\/p>\n<div>\n<div><\/div>\n<\/div>\n<div>\n<div><\/div>\n<\/div>\n<p>Public polling backs up the scale of the resistance Abbott described. A Gallup survey this year found seven in 10 Americans oppose data centers being built in their local area, with nearly half \u201cstrongly opposed.\u201d A July Emerson College poll put opposition at 63%, up 21 percentage points from December 2025, while a Reuters\/Ipsos survey in June found only 14% of Americans said they\u2019d be comfortable living near one.<\/p>\n<p>Read more <a href=\"https:\/\/crosscountrymovingteams.com\/?p=5908\">College students are shaving a year off their bachelor\u2019s degrees and saving as much as $20,000. Critics say they\u2019re \u2018cutting corners\u2019<\/a><\/p>\n<div>\n<div><\/div>\n<\/div>\n<h2>The grid numbers driving the pause<\/h2>\n<p>The rhetorical shift has been accompanied by concrete regulatory action. Earlier this month, Abbott directed the Public Utility Commission of Texas (PUCT) and the Electric Reliability Council of Texas (ERCOT) to halt new grid-connection approvals for data centers until regulators complete a \u201ccomprehensive verification and audit\u201d of pending projects, according to the Governor\u2019s office and Houston Public Media.<\/p>\n<p>After Abbott\u2019s call for an audit, roughly 1,800 data center projects are now stalled, tied to interconnection requests totaling approximately 474 gigawatts \u2014 more than 5x ERCOT\u2019s all-time peak electricity demand, and by Abbott\u2019s account, driven roughly 90% by data centers, according to Utility Dive and Yahoo Finance. That interconnection-queue figure measures something related to, but not identical with, Apollo\u2019s 100 GW \u201cplanned capacity\u201d estimate \u2014 ERCOT\u2019s number reflects raw grid-connection requests, many of which will never be built, while Cleanview\u2019s figure is meant to capture projects further along in planning. Abbott\u2019s office says the audit is necessary in part because fewer than 10% of data centers have been complying with existing state reporting requirements on power and water usage, according to press secretary Andrew Mahaleris, per Newsweek.<\/p>\n<div>\n<div><\/div>\n<\/div>\n<p>Some developers have already moved to fall in line. Abbott announced last week that Power House Data Centers, CoreWeave and Emergent Data Centers had agreed to comply with the new standards, while at least one prospective project chose to abandon construction plans rather than meet the requirements, according to the Governor\u2019s office. Abbott has separately pointed to a Meta-linked facility near El Paso \u2014 which sits outside the main ERCOT grid \u2014 as a model project that intends to comply voluntarily, per Newsweek.<\/p>\n<div>\n<div>\n<div><\/div>\n<\/div>\n<\/div>\n<div>\n<div><\/div>\n<\/div>\n<h2>Abbott\u2019s rift with Trump<\/h2>\n<p>Abbott\u2019s turn against the industry he once championed is part of a much broader political phenomenon. In races from Ohio to Wisconsin to Pennsylvania, candidates in both parties are scrambling to distance themselves from data center projects their own leaders spent years courting.<\/p>\n<p>In Ohio, former Democratic Sen. Sherrod Brown has spent millions branding Republican Sen. Jon Husted \u201cthe face of data centers,\u201d prompting the National Republican Senatorial Committee to privately warn AI companies that a Husted loss could chill industry support nationwide. In Pennsylvania, Democratic Gov. Josh Shapiro \u2014 who spent years courting data-center investment from Amazon, Microsoft and Google \u2014 signed an executive order this month requiring local community approval before granting building permits, after Republican challenger Stacy Garrity accused him of \u201crolling out the red carpet\u201d for developers. In Wisconsin, GOP gubernatorial nominee Tom Tiffany is attacking his Democratic opponent as \u201cdata center David Crowley,\u201d while in Michigan, Democratic Senate nominee Abdul El-Sayed called for state and federal moratoriums days before winning his primary, and Republican Mike Rogers has since embraced a one-year moratorium of his own.<\/p>\n<div>\n<div><\/div>\n<\/div>\n<p>More than 200 data centers are under construction or planned in competitive House districts, and 40 of the 69 most competitive districts nationwide have a data center either planned or under construction, according to a Data Center Map analysis cited by Politico and Business Insider. Eight states have enacted legislation this year rolling back data center tax subsidies, with 17 more considering similar measures, according to the Center on Budget and Policy Priorities, cited by Politico. Even Virginia, the nation\u2019s largest data center market by operating capacity, imposed a new consumption tax on data centers\u2019 energy usage this year to help close a budget gap.<\/p>\n<p>Industry insiders describe the moment in stark terms. \u201cSome are viewing it as an \u2018oh s\u2014\u2018 moment,\u201d one AI industry advocate told Politico. If even Texas is turning against you, you\u2019ve got a mounting problem.<\/p>\n<p><em>For this story,\u00a0<\/em>Fortune<em>\u00a0journalists used generative AI as a research tool. An editor verified the accuracy of the information before publishing.<\/em><\/p>\n<p>Read more <a href=\"https:\/\/crosscountrymovingteams.com\/?p=5906\">America\u2019s energy sector will need 500,000 more workers by 2030 thanks to AI\u2014but unless more workers retrain, humanoid robots will have to step in<\/a><\/p>\n<div>\n<div>\n<div><\/div>\n<\/div>\n<\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>&#8220;They got the backlash they deserve,&#8221; Greg Abbott said in an interview on ABC This Week. Less than a year ago, he wanted his state to be the &#8220;epicenter.&#8221;<\/p>\n","protected":false},"author":1,"featured_media":5911,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[28],"tags":[],"class_list":["post-5912","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-elections"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.7 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Greg Abbott turned from data center \u2018epicenter\u2019 booster to skeptic\u2014and Trump is calling it an economic \u2018mistake\u2019 - Cross Country Moving Team<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/crosscountrymovingteams.com\/?p=5912\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Greg Abbott turned from data center \u2018epicenter\u2019 booster to skeptic\u2014and Trump is calling it an economic \u2018mistake\u2019 - Cross Country Moving Team\" \/>\n<meta property=\"og:description\" content=\"&quot;They got the backlash they deserve,&quot; Greg Abbott said in an interview on ABC This Week. 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