BlackRock CEO Larry Fink Warns Data Center Moratorium Could Lead to Recession
Larry Fink, CEO of BlackRock (BLK), warned that a moratorium on data center construction in the U.S. could lead to an economic recession due to its critical role in capital expenditures and AI infrastructure development. Speaking with CNBC after reporting strong Q3 earnings, Fink emphasized how much of the economy depends on this buildout. He also noted growing local opposition to such projects over concerns like utility costs and environmental impact ahead of November's midterm elections. Fink acknowledged public fears but attributed many to misinformation. Analysts estimate AI-related capital expenditures could exceed $1 trillion by 2027, rising above $5 trillion by 2030. Fink argued that data centers are creating significant job opportunities in construction and digital infrastructure sectors.
Tickers: $BLK
Topics: AI Capital Expenditure Data Centers Infrastructure Recession Risk