"In 2025, state and local governments reportedly sold a record amount of debt for the second year in a row, with strategists predicting another $600 billion in sales next year. Most of that money is expected to fund infrastructure projects. Meanwhile, Census Bureau data reportedly shows that private spending on data center construction was running at annualized run rate of more than $41 billion - roughly the same as state and local government spending on transportation construction."
"All these projects are likely to compete for construction workers just as the industry faces labor shortages from retirements and President Donald Trump's immigration crackdown. Andrew Anagnost, CEO of architecture and design software maker Autodesk, told Bloomberg there's "absolutely no doubt" that data center construction "sucks resources from other projects. "I guarantee you a lot of those [infrastructure] projects are not going to move as fast as people want," he said."
State and local governments sold record amounts of debt in 2025 and are expected to sell another $600 billion to fund infrastructure projects. Private spending on data center construction ran at an annualized rate above $41 billion, matching public transportation construction spending. Public infrastructure projects and private data center builds will compete for the same pool of construction workers amid industry labor shortages caused by retirements and tightened immigration enforcement. The surge in data center construction is drawing resources away from other projects, which will delay many planned road, bridge, and infrastructure timelines.
Read at TechCrunch
Unable to calculate read time
Collection
[
|
...
]