Normal view
- Tom's Hardware
- Trump announces mandate forcing AI data centers to pay energy dividends to the local community
Trump announces mandate forcing AI data centers to pay energy dividends to the local community
President Donald Trump has issued a call for data center builders and AI hyperscalers to pay communities a dividend in order to overcome energy-related price hikes, or even to reduce prices, in order to make data centers more palatable to local communities. In a post on Truth Social post, he warned that data centers would be mandated not only to make their own electricity, as he has previously stated, but also to give or sell excess energy back to the local community.
Local communities all over the United States have protested against AI data centers, often owing to their outsized impact on local communities. Rising electricity costs, noise pollution, water shortages, air pollution, deforestation, and more are the things that small communities have to deal with because of these companies.
To ease the pain of local communities, Trump is demanding that these large companies provide the communities they affect with something that will hopefully make their presence more acceptable. The Trump Administration is keen to stay ahead of China in the AI arms race and is looking for solutions to win back some favor by making the data centers pay something back to the affected communities; how that will practically transpire is yet to be seen. Considering the electricity-focused post, the dividend might be in the form of partially paying rising electricity costs to alleviate a pain point that directly affects many homes within the vicinity of data centers. The Trump Administration had ordered these companies to make their own electricity, as we’ve covered previously. Excess electricity from their generation could be used to further lower the electricity cost for the locals, including a recently passed act that orders data centers to shoulder the cost for grid upgrades to avoid taking it from the taxes of local communities.
“Data Centers that were highly unpopular in a certain area have become extremely popular when a financial deal is struck.” Trump further says in his post, aiming to have more data centers built, “MAKE DEALS, and get them built!!!," the President said in closing.
Whether the dividends will be enough to win over communities is yet to be known, as the economic aspect is only one facet of the problem. There are still plenty of problems to face; enormous water consumption, ecological damage, and pollution are still major challenges that make AI data centers a hard sell anywhere they’re located.
- Futura
- L’IA aspire des milliards pendant que l’économie ralentit : ce graphique révèle une situation effrayante
L’IA aspire des milliards pendant que l’économie ralentit : ce graphique révèle une situation effrayante

- Tom's Hardware
- Norwegian undersea cable builder pitches 2,800-mile transatlantic data link between Canada and Europe to bypass the US
Norwegian undersea cable builder pitches 2,800-mile transatlantic data link between Canada and Europe to bypass the US
A Norwegian company building fiber networks and data centers across Europe is looking for a majority partner to help fund and build a transatlantic undersea cable that would connect Canada with Europe directly, bypassing the United States. The project follows worsening relations between Washington and Ottawa, with the Canadian government looking to reduce direct reliance on its immediate neighbor, Bloomberg reports.
Project Leif Erikson, if it goes ahead, would stretch more than 2,800 miles, starting at the southern tip of Norway and ending up at Happy Valley-Goose Bay in Canada's eastern province of Newfoundland and Labrador. From there, it would continue underground over Canadian territory, passing through Quebec before reaching Montreal.
According to Bulk's co-founder, Peder Nærbø, the link would be part of a "sovereign cable system" for Canada. The project was touted to investors at a global investors summit, arranged by the Canadian government, in September, where the project claimed to provide "direct, secure, high-capacity data transmission for AI, telecom and hyperscale markets."
Canadian Industry Minister Melanie Joy, meanwhile, met with Nærbø earlier this year, and although the department declined to comment on Leif Erikson itself, it told Bloomberg that security and resilience for Canada's infrastructure are "key priorities" for PM Mark Carney's government. Only a few undersea cables currently connect Canada without passing through the United States first, and none by a company owned by Canada. The biggest, called Topez, is owned by Google owner Alphabet and connects Canada with Japan.
As for Bulk, it has, up until now, laid more than 6,200 miles of cabling locally and at sea. Bulk's goal is to "unlock the Nordics' potential for... renewable energy to be utilized for digital infrastructure." Nærbø believes that "Canada lacks resilience" but "the game-changer was when the current situation with the U.S. escalated."
Leif Erikson has backers, according to the report, but the EU and Canada still need to plan and sign off on the project and its route. Additional financing will be needed to get started, too, with it expected to cost more than $620 million to build. Bulk itself has significant Canadian investment, with 65% of the company owned by a real estate subsidiary of Canada's Sun Life Financial Inc., with several Canadian pension funds also invested.
Leif Erikson is a project that Nærbø has sought to kickstart for the last five years without success. With geopolitical pressures and old alliances fraying, however, new opportunities for its development have given it steam. To that end, Canada and Europe intend to endorse a statement in Montreal on October 29 that the two will look for "the best way to enhance digital links between Europe, Canada and Asia through new subsea cable infrastructure."
It won't be without challenges, however, including a 1,180-mile underground route through Canada that'll require the backing of Indigenous communities. Meanwhile, other European efforts include an undersea cable project at the North Pole to link Europe with Asia to bypass Russia and the Middle East.
Russia was not ready for the data center war it started with Ukraine
When Russia began attacking Ukrainian data centers and telecommunication infrastructure, it apparently failed to prepare for possible retaliation. Now Russia’s digital services are facing widespread outages after Ukrainian drone strikes knocked out three of the largest data centers owned by Russian tech giant Yandex within several days.
Pro-Kremlin bloggers are warning that Russia’s centralized digital economy could collapse because the country is not prepared for the “data center war” it started, according to posts translated by the pseudonymous independent researcher ChrisO_wiki. The Russian commentators also suggested that Ukraine’s decentralized digital services could prove more resilient than Russia’s system if the countries continue trading such blows.
Russia initially launched a drone strike campaign targeting Ukrainian data centers and mobile phone networks in late September. The attacks temporarily disrupted Internet and cell phone service for up to 100,000 households in the Ukrainian capital of Kyiv and came as part of a broader long-range strike campaign that has involved Russian missiles and jet-powered drones hitting Ukraine’s power grid infrastructure, transportation hubs, and even residential apartment building blocks.


© Igor IVANKO / AFP via Getty Images