Trump Urges Tech Giants to Build Their Own Power Plants for AI Expansion

President Donald Trump urged information technology companies racing to expand in artificial intelligence to build their own power plants to avoid saddling household consumers with the bill for that expansion.

“Tonight, I’m pleased to announce that I have negotiated the new rate payer protection pledge. You know what that is? We’re telling the major tech companies that they have the obligation to provide for their own power needs,” Trump said in his State of the Union address, as quoted by Reuters.

“We have an old grid. It could never handle the kind of numbers, the amount of electricity that’s needed. So I’m telling them, they can build their own plant. They’re going to produce their own electricity. It will ensure the company’s ability to get electricity, while at the same time, lowering prices of electricity for you,” the U.S. president also said.

The idea of making Big Tech secure its own electricity supply has been floating in the political space for a while now as demand soars and bills follow, causing disgruntlement. Big Tech firms are requesting supply of hundreds of gigawatts of power for data centers as they connect to the U.S. grid. But aging grid infrastructure in key regional markets and grid investments lagging behind the soaring demand are forcing grid operators to offer some alternative options to the so-called hyperscalers looking to hook up their proposed data centers to the grids.

“Bring your own generation” is one of these alternative options, and now it seems to have the official support of the federal government. It is also the options that data center operators would prefer over the other one proposed: getting priority grid connection but agreeing to power down or disconnect from the grid and switch to backup generation during periods of peak demand and a risk of the grid getting overwhelmed.

By Irina Slav for Oilprice.com

More Top Reads From Oilprice.com

 

  • Related Posts

    Weak China Demand Pushes Australian Gas Exporters to Seek New Buyers

    Asia’s weak LNG demand has prompted one of the biggest exporters, Australia, to ship a cargo of the fuel as far as East Canada on a 16,000-mile journey, vessel-tracking data…

    Shell Signs LNG Deal to Boost Supply to Southern Europe

    Shell and Greek energy and metals firm Metlen have signed a cooperation deal for LNG supply and trading, which would boost deliveries to Greek import terminals and supply to southern…

    Have You Seen?

    Oil Hovers Near Seven-Month Highs Ahead of US-Iran Talks

    • February 25, 2026
    Oil Hovers Near Seven-Month Highs Ahead of US-Iran Talks

    Trump Says He Has Told Big Tech Companies to Build Their Own Power Plants

    • February 25, 2026
    Trump Says He Has Told Big Tech Companies to Build Their Own Power Plants

    US AI Boom Faces Electric Shock

    • February 25, 2026
    US AI Boom Faces Electric Shock

    Indian Refiners Pivot From Russian to Venezuelan Crude

    • February 25, 2026
    Indian Refiners Pivot From Russian to Venezuelan Crude

    Trump Slaps 126% Tariff on Indian Solar Panels in Escalating Trade Fight

    • February 25, 2026
    Trump Slaps 126% Tariff on Indian Solar Panels in Escalating Trade Fight

    Shell Signs LNG Deal to Boost Supply to Southern Europe

    • February 25, 2026
    Shell Signs LNG Deal to Boost Supply to Southern Europe

    Weak China Demand Pushes Australian Gas Exporters to Seek New Buyers

    • February 25, 2026
    Weak China Demand Pushes Australian Gas Exporters to Seek New Buyers

    SK hynix to invest $15bn in Yongin fab in Korea

    • February 25, 2026
    SK hynix to invest $15bn in Yongin fab in Korea

    Avanti Helium secures Montana helium plant

    • February 25, 2026
    Avanti Helium secures Montana helium plant

    Poland sets its sights on more CCS complexes

    • February 25, 2026
    Poland sets its sights on more CCS complexes