Elizabeth Warren Calls For ‘National Moratorium’ On AI Data Centers Until They Cover Full Costs

In an interview with CNBC, Warren said those costs should include grid expansion, water use and other impacts on local communities.

• Warren said AI “holds great promise” but noted that its development must be weighed against concerns about safety and accountability.
• She added that existing liability and criminal laws can still apply when AI agents cause harm.
• The senator reiterated her support for tighter restrictions on China’s access to advanced AI chips, chipmaking equipment and technology used to track where chips ultimately end up.

Senator Elizabeth Warren (D-MA) on Tuesday called for a national moratorium on new AI data centers until developers can demonstrate that the facilities will cover their full costs to local communities, including grid upgrades, water use and other infrastructure needs.

"You do a national moratorium," Warren said in an interview with CNBC, adding that data-center developers should demonstrate that the "full costs" are being covered, including grid expansion, jobs and water-related impacts.

The comments come less than two weeks after Warren called for a pause in the development of advanced AI and shortly after the House passed bipartisan legislation aimed at preventing households and small businesses from being left with infrastructure costs tied to new data centers.

Warren and other senators also escalated their scrutiny of Big Tech's AI spending on Monday, sending letters to Meta (META), Alphabet (GOOG, GOOGL), Amazon (AMZN) and Microsoft (MSFT) seeking details on tax deductions tied to AI and data-center investments under the 2025 tax law, along with information about the companies' lobbying around those provisions. 

U.S. equities were mixed in midday trade on Thursday. The Nasdaq-100-tracking Invesco QQQ Trust (QQQ) gained 0.07%, while the SPDR S&P 500 ETF (SPY) slid 0.31% and the SPDR Dow Jones Industrial Average ETF (DIA) fell 0.61%. Retail sentiment around QQQ on Stocktwits trended in ‘bullish’ territory over the past day. 

Warren Says AI Agents Should Not Escape Liability

The senator also addressed the growing use of AI agents, arguing that existing liability and criminal laws can still apply when autonomous systems cause harm.

"Absolutely, I think you're 100% right. There are liability laws," Warren said when asked whether companies and individuals should remain responsible for actions taken by AI agents. She added that using a remote bot does not shield the person behind it from accountability.

Warren said AI "holds great promise" but noted that its potential must be weighed against concerns about safety and accountability.

Warren Renews Push To Restrict Nvidia Chips To China

Warren also reiterated her support for tighter restrictions on China’s access to advanced AI chips and semiconductor technology.

She has previously backed the AI OVERWATCH Act, which would strengthen controls on exports of certain advanced AI chips to countries of concern and increase congressional oversight of the Commerce Department’s export licensing process. 

Warren also co-sponsored the Chip Security Act, which would require stronger safeguards against diversion of advanced U.S. chips to China and other countries of concern.

Nvidia (NVDA) and Advanced Micro Devices (AMD) are reportedly seeking changes to China-related chip restrictions under consideration in the annual defense policy bill, including provisions related to AI chip exports and chip tracking.

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