New York Governor Kathy Hochul has signed an executive order enacting a one-year moratorium on construction of new hyperscale artificial intelligence data centers across the state, making New York the first U.S. state to legally restrict AI infrastructure growth. Hochul cites the enormous electricity demand and millions of gallons of water required to run and cool AI systems and supercomputers, warning of potential strain on the power grid and higher utility bills for residents. During the pause, state officials plan to design new environmental and energy standards. The move has drawn sharp criticism from major technology firms while winning support from environmental groups and local communities.

Prepared by Lauren Mitchell and reviewed by editorial team.