Larry Fink Warns Data Center Moratorium Could Trigger Recession
BlackRock CEO Larry Fink warned that halting data center construction in the United States could trigger a recession due to lost capital expenditures.
Larry Fink, CEO of BlackRock, warned Wednesday that a moratorium on data center construction in the United States could trigger a recession. Speaking after BlackRock reported third-quarter earnings that exceeded expectations, Fink argued that the national economy relies heavily on the capital expenditures associated with artificial intelligence infrastructure.
Fink stated that data centers drive demand for energy and digital infrastructure while creating significant employment for construction workers. He characterized much of the local opposition to these projects as being based on "misinformation."
These comments come as data center development becomes a central issue in the November 3 midterm elections. Local opposition has grown due to concerns regarding rising utility costs, environmental impacts, and water usage.
