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Big Tech Alert! Trump Pushes Microsoft and Peers to Cover Soaring AI Data Center Power Costs Amid Grid Strain

Big Tech Alert! Trump Pushes Microsoft and Peers to Cover Soaring AI Data Center Power Costs Amid Grid Strain

President Donald Trump has vowed to ensure that Big Tech companies pay for the high costs of their artificial intelligence (AI) data centers amid rising grid strain. In a post on Truth Social (DJT) on January 12, 2026, Trump noted that he will push Microsoft (MSFT) and its peers to make data center changes that reduce the strain on the power grid affecting American consumers. Trump stated, “I never want Americans to pay higher electricity bills because of data centers.”

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According to St. Louis Fed data, U.S. cities have seen average electricity prices rise by about 40% per kilowatt-hour over the past five years. Trump stated that his team is already in discussions with Microsoft, and he expects big changes from the company this week that will ensure Americans do not pay higher utility bills to cover its massive data center power usage.

Surging Data Center Demand Strains the Grid  

Trump is calling for AI powerhouses to fully fund their massive energy demands, warning that surging data center consumption threatens the U.S. power grid without taxpayer support. Trump emphasized, “We are the ‘hottest’ country in the world, and number one in AI. Data centers are key to that boom and keeping Americans free and secure, but the big technology companies who build them must ‘pay their own way’.”

These facilities consume enormous electricity to train and run large AI models, alongside significant water for cooling, and they generate noise and air pollution in nearby communities. According to the International Energy Agency (IEA), global data centers used 1% to 1.5% of electricity in 2024, with U.S. AI-driven demand projected to double by 2030. A single large hyperscale data center can draw 100 MW to 500 MW, which is equivalent to powering about 75,000 to 375,000 homes.

Tech giants are already making efforts to lessen the grid’s burden. Microsoft has secured nuclear and natural gas deals for on-site power, and Google (GOOGL) invests in renewables. However, critics argue that these are relatively smaller deals and do not fully offset grid impacts without direct consumer subsidies. Trump’s push aligns with his administration’s early 2026 energy agenda, including executive orders to prioritize domestic power for critical infrastructure.

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