Data centers aren’t a new concept. It’s where your YouTube videos live. It’s where your Instagram photos go, and it’s also where your cloud-saved files are kept. However, with the boom in AI, companies are building up data centers faster than ever. But now, the Senate wants answers from Big Tech on its AI data centers, namely the actual costs and benefits surrounding these projects.
Senate wants Big Tech to disclose the true costs and benefits of its AI data centers
According to an exclusive TIME report, Senators Elizabeth Warren, Chris Van Hollen, and Richard Blumenthal released a 27-page report called “Power and Profits.” The probe started in December 2025. That’s when the senators sent letters to Amazon, Google, Meta, Microsoft, CoreWeave, Digital Realty, and Equinix.
According to the report, none of the seven companies agreed they should pay for new energy infrastructure. This is despite the fact that these infrastructures only exist because of their data centers. Meta and Amazon say they cover the full cost of the electricity they use. The senators say those pledges skip the grid upgrades that end up on household bills.
Jobs are another sore spot. TIME reports that a 100-megawatt data center can use as much power as 100,000 homes while keeping about 100 permanent workers after construction. Several companies wouldn’t share how many permanent employees they have.
Then there’s the secrecy. All four Big Tech companies routinely ask utilities, landowners, and sometimes government officials to sign NDAs. The report says that limits public oversight of tax, electricity, and infrastructure deals. The Senate Big Tech AI data center report also points to billions in tax incentives.
The actual reality
AI data centers are swallowing high-end memory chips. This leaves less for phones and PCs. Morgan Stanley data shows a gigabyte of RAM went from $2.80 in 2025 to $12 this year. Google cited that jump when it confirmed higher Pixel 11 prices. Phones are getting more expensive across the board. Even Samsung’s budget models aren’t spared.
Power bills are another pain point. The senators argue that utilities recoup grid upgrade costs from regular customers. Data centers aren’t the only reason bills are climbing, to be fair.
Then there’s the impact these data centers have on our planet. A UN University report found that data centers used 448 terawatt-hours of electricity in 2025 and produced about 208 million tons of carbon dioxide. That’s roughly Argentina’s output. The same report expects the footprint to double by 2030.
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