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Texas Legislature’s New Bill Threatens Trump’s Bold AI Initiative Amid Global Competition
President Donald Trump’s ambitious AI program may encounter significant challenges due to new legislation passed by the Texas legislature. This initiative, known as Stargate, seeks to establish 20 powerful data centers across the United States, with a particular focus on Texas for the initial 10 centers.
The Stargate project is firmly backed by economic giants such as OpenAI, Oracle, SoftBank, and the UAE-backed MGX. The staggering $500 billion investment underscores the importance placed on developing a robust AI infrastructure in America.
However, the introduction of Senate Bill 6 could significantly hinder this momentum. The proposed legislation imposes a six-month regulatory review period in addition to the already lengthy 6 to 18-month approval timeline. It also requires the installation of mandatory backup generators, resulting in increased costs and longer wait times for essential approvals.
Concerns Over Delays and Costs
Even though proponents of the bill frame it as a measure to prevent another grid failure like Winter Storm Uri, some of Trump’s allies express concerns that it may derail a once-in-a-generation opportunity. Vance Ginn, the president of Ginn Economic Consulting and a former chief economist at the White House Office of Management and Budget during Trump’s first term, articulated these worries during an exclusive interview.
Ginn stated, “This bill would be a serious roadblock to the president’s vision. It stems from a misguided fear of energy scarcity, AI risks, and an uncertain future.” He emphasized that the bill’s strict new requirements, including a hefty $100,000 grid connection fee and an emergency
