US plans to accelerate AI growth with private gigawatt-scale data centers on federal land

Summary

President Biden has signed an order that will let companies build AI data centers on federal property, part of a broader push to keep the US at the forefront of artificial intelligence development.

The order opens up Department of Defense and Department of Energy sites for massive private AI facilities that could use gigawatts of power. “We will not let America be out-built when it comes to the technology that will define the future,” Biden said in a statement about the initiative.

The plan aims to boost both economic competitiveness and national security while maintaining strict environmental standards. Companies that want to build these centers will need to run them on “sufficient clean energy generation resources” and construct new renewable power plants to support them.

Companies must cover all costs – from construction and operations to maintaining the power infrastructure – to make sure regular consumers don’t see higher electricity bills. They’ll also need to pay fair wages and buy some of their computer chips from American manufacturers.

Making AI Infrastructure a “national security imperative”

The administration sees building up domestic AI infrastructure as crucial for national security. Having these facilities on US soil should help ensure AI systems are developed safely while keeping potential adversaries from accessing powerful systems.

The State Department plans to work with allied nations to build trustworthy AI infrastructure worldwide, while also reducing America’s reliance on foreign AI tools.

To get things moving quickly, government agencies will dedicate staff specifically to handling approvals. The Defense Department is already starting environmental reviews to speed up future site assessments.

The Energy Department is working on connecting these facilities to the power grid and planning new transmission lines. Meanwhile, the Commerce Department is helping manufacturers of critical components, and federal agencies are looking at loan guarantee options.

This news comes just a day after the US announced a new three-tier system for licensing AI chips. Most countries will face quantity limits, with only close allies getting unrestricted access. These rules are set to take effect in 120 days, leaving time for the incoming Trump administration to make changes if it chooses to do so.