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In the late 1950s, the U.S. government had big plans for San Francisco.
But the people who lived there had other ideas.
At the time, America was in the middle of a massive infrastructure boom. President Dwight D. Eisenhower had launched a bold plan to build a nationwide system of interstate highways.
Cities across the country were being asked to make way for them.
That didn’t sit too well with a lot of folks in San Francisco.
So, they fought back. And they kept fighting for years.
They packed public meetings, signed petitions and protested.
Source: San Francisco Chronicle
By 1966, two of the biggest remaining freeway proposals were defeated by a narrow margin. After nearly a decade of fighting, they succeeded in stopping major freeway projects from cutting through San Francisco.
Now, here’s the important part…
San Francisco may have stopped those freeways from being built in its backyard. But it didn’t stop America’s highway boom. Not even close.
The Interstate Highway System continued expanding across the country for decades.
Folks, that’s worth remembering today. Because nearly 70 years later, we’re watching a very similar fight play out again.
Communities across the country are pushing back against new data center projects. They’re concerned about electricity costs, water usage, noise and strain on local power grids.
The pushback has gained a lot of momentum. And I’ve received a few emails from investors wondering whether America’s massive data center boom is finally hitting a wall.
So, in today’s 蜜桃传媒 360, let’s take a closer look at the growing pushback against data centers. We’ll talk about why I don’t think it will derail the massive buildout underway – and why there’s more to profiting from the AI boom than simply picking a few good stocks.
When Pushback Becomes Policy
We see stories about packed town halls and data center projects on local news stations across the country.
And the calls from citizens have gotten loud enough that the politicians are responding.
Local officials are responding with temporary moratoriums on new data center construction.
In fact, has a data center moratorium tracker that shows just how widespread these restrictions have become. All told, they’re counting about 268 moratoriums of some kind across the country.
New York recently became the first state to institute a statewide moratorium on large data centers. This restricts both the construction of and permits for hyperscale data centers that consume 50+ megawatts of power. The moratorium is in effect for one year.
The one-year moratorium was enacted to give New York the time to refine its regulations. New York Governor Kathy Hochul wants all new data centers to be subject to the same “consistent standards.”
The state plans to review and research the environmental impact of data center construction and operation. Once standards are agreed upon, the moratorium will end.
Upstate New York remains attractive for data centers thanks to abundant hydropower and its proximity to major Canadian hydroelectric resources.
So, I suspect construction will resume once these standards are set.
The Boom Is Still Intact
In the meantime, we need to remember that the data center boom continues relatively unabated nationally.
Yes, there has been some pushback from communities across the country. Some of it is warranted. But the reality is that the number of data centers in the U.S. is still set to nearly double.
According to Stanford University’s AI Index Report, there were 5,427 data centers in the U.S. at the end of 2025. There are plans to add 3,969 new data centers – 802 of which are currently under construction. Data center construction rose 7% in June to $68.3 billion, which represented a 46% year-over-year increase.
By my calculations, the order backlog for data centers will persist through 2029 to 2030.
So, please ignore all the fear-mongering headlines about the data center boom somehow coming to an abrupt end.
For example, I’ve had readers email me about articles in the mainstream media claiming that nearly half of all the data centers planned for 2026 have been delayed or canceled.
That stat is real, but it’s less alarming than it sounds for two reasons.
First, of course, there are delays – that’s exactly what happens when an industry is booming faster than its supply chains can keep up!
Data center construction is being held back by shortages of turbines, transformers, skilled labor and power itself, not because demand dried up. If anything, delays like these are a sign of just how hot this boom really is.
Second, a lot of these “planned” projects were never as real as the headlines suggest.
Most of these estimates count a project the moment it’s announced – a press release, a real estate filing, sometimes just a non-binding letter of intent – none of which guarantees the project ever gets built.
Take Texas, for example.
The state has its own grid. And the grid operator is currently fielding more than 410 gigawatts of data center interconnection requests. The problem is, the entire state’s peak power demand is only about 85 gigawatts. That queue is nearly five times the size of the whole grid!
So, a lot of that is speculative filing that’s padding the numbers. Some of it may, in fact, never break ground. Some individual projects will genuinely get delayed or shelved.
But the overall data center boom remains fully intact.
Profiting From What Comes Next
As we saw in San Francisco, local opposition doesn’t necessarily stop a nationwide infrastructure boom.
And I think the same thing is true for data centers today.
The bottom line is that this is a big country. There is plenty of room to build these things.
And the flow of money being invested into these projects isn’t stopping, either.
In fact, forecasts a total of $1 trillion in global AI-related investment for 2026.
They also project the cumulative spend AI infrastructure and data centers will top $5 trillion to $7.6 trillion by 2030–2031.
That means there’s also still plenty of opportunities to profit from the buildout.
Most of my followers already know this. That’s because one of the top searches I’m seeing on my new tool (subscription required) right now is for A-rated stocks in the technology sector. I’m also getting tons of questions about the top AI infrastructure plays.
I understand why. There are many companies that stand to benefit as the AI and data center buildout continues. In fact, my InvestorPlace colleagues Luke Lango and Eric Fry, along with me, have made more than 200 recommendations related to the AI Revolution over the years.
But here’s the thing…
Picking a few great AI stocks is only part of the equation.
You also need to know how much to invest in each one, how those positions fit together and whether your portfolio is taking on too much risk in one area.
That’s exactly what I’ve been working on for the past few months.
Together, we’ve taken a fresh look at our and how we can make it even more useful to investors.
We’ve already seen what this approach can accomplish. Following our last major rebalance in December 2024, the AI Revolution Portfolio gained 58% through July 23 – more than twice the Nasdaq’s 25% return over the same period.
And now, we’ve rebuilt it again…
Only this time, for each position, we’re now providing a recommended allocation with the help of our new Position-Size Calculator tool. This should help give you a clearer blueprint for putting those recommendations into action.
Earlier this week, Luke, Eric and I went on camera to explain what we’re doing, how the portfolio works and why we believe this approach can help you position yourself better as the AI Revolution continues.
Sincerely,
Louis Navellier
Editor, 蜜桃传媒 360
