‘Colossal expansion of US energy’: Trump touts major tech company agreement

Several major tech companies and President Donald Trump signed a pledge Wednesday to protect ratepayers from energy guzzling data centers as his administration embraces artificial intelligence (AI) innovation.

The Trump administration has championed AI development, framing it as necessary to beat China in the key tech race, while also arguing that AI investment will drive economic growth. Meanwhile, affordability has become a major political headache for Republicans and Democrats alike as the November midterms inch closer.

The “Ratepayer Protection Pledge” tries to solve both problems by getting major tech companies to finance and secure their own power for data centers, which could lower energy costs for average Americans.

“I’m sure you would rather talk about war than this, but this is very important,” Trump said, arguing that the agreement will help lower utility bills and strengthen the power grid.

Google, Microsoft, Meta, Oracle, xAI, OpenAI and Amazon are the companies signing the pledge, Reuters reported.

Joined by the leaders of those major tech companies, Energy Secretary Chris Wright, House Speaker Mike Johnson and other Republicans, Trump signed the pledge.

“Your electric costs will be going down,” Trump said, though he noted “it will take a little time to get there.”

Trump remarked that data centers “need some PR help” as several projects are being rejected by communities. Another provision in the pledge states that tech companies will invest in the local communities where they build their data centers, Trump said.

“Basically, we’re building massive amounts of electricity, and you aren’t paying for it at all,” Trump continued. “America’s largest and richest tech companies will be funding a colossal expansion of U.S. energy.”

Trump and Wright noted that electricity costs rose sharply under the Biden administration, leading Trump to declare a national energy emergency on his first day back in the Oval Office.

“We inherited a total mess,” Trump said, while Wright argued that the former administration’s energy policies were a “trainwreck waiting to happen.”

“We’re going to win in AI and we’re going to stop the rise in electricity prices because of the seven leaders sitting at this table,” Wright declared.

Politicians on both sides of the aisle have raised the alarm over the threats of AI, with Independent Vermont Sen. Bernie Sanders and Republican Florida Gov. Ron DeSantis calling for data centers to slow development unless appropriate safeguards are put in place.

Republican Missouri Sen. Josh Hawley has also targeted this issue, introducing the Guaranteeing Rate Insulation from Data Centers (GRID) Act on Feb. 11 to ensure data centers use energy that is separate from the power grid.

“American families should not have to shoulder the burden of the rising electricity costs produced by data centers in Missouri and across the country. This is unacceptable,” Hawley said upon introducing the GRID Act. “I am introducing legislation that will protect American citizens by requiring data centers to use energy from sources that are separate from the U.S. grid and publicly report their electricity usage.”