CoreWeave Seeks Cooperation With Texas Governor-Elect on Data Centers

CoreWeave has written to Texas Governor-elect Gina Hinojosa seeking cooperation with her incoming administration on existing and future data center projects in the state, as technology companies confront growing political opposition to the expansion of artificial intelligence infrastructure, Aidan Williams reported for Bloomberg News.

CoreWeave is seeking cooperation with Texas Governor-elect Gina Hinojosa as the state considers tighter rules for data center development. [Photo: PR Newswire]

In a statement, CoreWeave co-founder and Chief Executive Officer Michael Intrator said the company supported Hinojosa's position that data center development should benefit Texas residents.

“You have made clear that data center growth must work for Texas,” Intrator said. “We strongly support those principles.”

“We welcome the opportunity to work with your transition team on the responsible completion of permitted projects and on clear, durable standards for future development,” he added.

The outreach comes as AI companies face a changing political environment following Democratic victories in the US midterm elections.

Candidates who campaigned for greater oversight of data center construction benefited from growing concerns about electricity consumption, water use, infrastructure costs and the impact of large facilities on local communities.

Hinojosa, who defeated Republican incumbent Greg Abbott, became the first Democrat elected governor of Texas since Ann Richards won the office in 1990. Richards served from 1991 to 1995.

During her campaign, Hinojosa pledged to pursue a statewide moratorium on new data center development while establishing stronger safeguards for communities and the state's electricity and water resources.

She has also said she wants to balance Texas' reputation as a business-friendly state with policies that ensure residents benefit from new investment.

“We have always been a pro-business state in Texas, but what changes now with me as governor is it has to be a partnership that benefits Texans,” Hinojosa told CNN.

The election has put the future of data center construction in Texas under greater scrutiny, although Hinojosa's proposed moratorium has not yet become state policy.