Trump Announces $20 Billion Investment in U.S. Data Centers
In a move that could reshape the digital landscape in the United States, President-elect Donald Trump has revealed that Emirati billionaire Hussain Sajwani plans to inject $20 billion into building new data centers across the country. This significant investment by the DAMAC Properties founder marks a bold step towards enhancing the nation’s technological infrastructure, primarily focusing on AI and cloud technologies.
- Initial data centers will be established in Arizona, Illinois, Indiana, Louisiana, Michigan, Ohio, Oklahoma, and Texas.
- This initiative is part of a broader multi-year investment strategy.
“We’ve been waiting for years to increase our investments in the U.S.,” Sajwani expressed enthusiastically. “We’re trying to invest $20 billion, and potentially even more than that.”
— Hussain Sajwani
However, past experiences urge caution. In 2017, a similar grand promise was made when President Trump and Wisconsin’s then-governor Scott Walker announced a $10 billion investment by Foxconn that fell significantly short of expectations. By 2023, only $1 billion had been spent with about 1,000 jobs created—far from the promised 13,000.
These developments unfold amidst discussions surrounding the CHIPS Act—a cornerstone policy of the Biden Administration aimed at revitalizing U.S. semiconductor manufacturing with substantial grants and tax credits. Despite bipartisan support for the Act, some critics, including Trump and House Speaker Mike Johnson, have voiced intentions to repeal it.
Industry experts continue to stress the importance of investing in data center infrastructure as AI technologies advance rapidly. Companies like Microsoft are already committing vast resources—up to $80 billion—to AI data centers. Microsoft President Brad Smith emphasized in a blog post that America is well-positioned to lead this technological revolution if it strengthens its infrastructure through strategic partnerships.
“The United States is poised to stand at the forefront of this new technology wave,” Smith wrote. “The incoming Administration can strengthen foundational elements, building on prior work.”
— Brad Smith
Similarly, OpenAI CEO Sam Altman sees a “real opportunity” for improvement beyond what the CHIPS Act achieved. He highlighted the growing difficulty in constructing essential facilities like power plants and data centers due to bureaucratic challenges.
“It is wild how difficult it has become to build things in the United States,” Altman noted. “It’s not helpful to the country in general.”
— Sam Altman
