Top Openai Exec: ‘we Have Real Work To Do’ On Data Centers

SACRAMENTO, California — A top OpenAI executive said Tuesday that the ChatGPT-maker must do more to sell skeptical communities on AI data centers as politicians and voters from both parties grow increasingly hostile to the hubs that are essential for the technology.

“If you think about the amazing work we're trying to do with AI … it's all incredible and it's inspiring,” Ann O’Leary, OpenAI’s vice president for global policy, said during an AI policy panel at POLITICO's The California Agenda: Sacramento Summit. "But when you have a data center in your backyard, it’s not inspiring you. And so I think we have real work to do.”

The comments from a representative of an AI heavyweight underscore the public perception issue facing tech giants and data center developers ahead the November midterms, where the projects have become defining issues in statewide races.

The computing facilities are the backbone of America’s fast-growing AI economy and essential for training more advanced models, but in many communities, angry residents are more concerned about potential energy bill hikes and environmental impacts associated with hyperscale AI projects.

“We are very committed to make sure that we pay for our little electricity, that we have conservative water policies, that we make sure that we are working very closely with communities to hear community concerns and provide community benefits,” O’Leary said. “But even if you do all of the best things … there's a lot more work that needs to be done.”

Grassroots opposition is increasingly bipartisan and growing, and it’s trickling into policy. New York Democrat Kathy Hochul and Texas Republican Greg Abbott this summer became the first governors to freeze new AI data center projects in their states. Calls for data center construction moratoriums have also become a campaign rallying cry for populist candidates.

Even President Donald Trump is moving on the issue: The White House has recruited major tech companies, utilities and Republican governors to pledge that data centers will “pay their own way” on electricity costs.

California lawmakers have stopped short of backing a moratorium but are pursuing legislation this year that seeks to prevent energy bill spikes and promote sustainable energy and water use.

“We can make sure that we can benefit from technology,” Democratic state Sen. Steve Padilla, who is authoring a bill on the issue, said Tuesday. “But we will make damn sure it doesn't exploit and drain from communities, instead of giving to communities and lifting them up.”