Berkshire Hathaway CEO Discusses Pushback Against Data Center Construction
Greg Abel, CEO of Berkshire Hathaway (BRK.B), highlighted growing community resistance to new data center construction across the U.S. during a CNBC interview on September 2. He noted that while Berkshire is not building these facilities directly, it supplies power through its energy division and will only serve large computing customers if existing ratepayers are unaffected. Abel emphasized grid capacity and permitting delays as key constraints for AI expansion rather than chip shortages or capital availability. Data centers now consume 4% to 5% of U.S. electricity, with some areas seeing utility bill increases of up to 267%. Eleven states have considered moratoriums on new data center construction following New York's lead. Berkshire’s strategy includes leveraging its regulated utilities and equity investments in AI leaders like Alphabet (GOOGL). Abel also pointed out the economic benefits that data centers bring, such as tax revenue for local communities.
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Topics: AI infrastructure Data centers Electricity demand Regulation Utility companies