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Reading: AI’s massive appetite for power, water ignites fight in high-stakes Texas Senate race
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AI’s massive appetite for power, water ignites fight in high-stakes Texas Senate race

Last updated: August 24, 2026 3:23 pm
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AI's massive appetite for power, water ignites fight in high-stakes Texas Senate race
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FIRST ON FOX: Theres an ugly political fight brewing in the Lone Star State over data centers, and both candidates running for Senate are racing each other to unveil their plans to slow the AI boom in Texas.

Texas Attorney General Ken Paxton is rolling out his own plan to address what has become a political pressure point in Texas politics during this midterm cycle: how to add guardrails to the explosion of data centers across the state as voters concerns rise about skyrocketing power and water costs.

The four-point plan, first obtained by Fox News Digital, details steps at the federal and state levels on the issue and comes in the waning weeks of a closely watched contest for power in the Senate between Paxton and state Sen. James Talarico, the Democratic nominee.

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“Theres no doubt in my mind that the United States will beat the in the AI race,” Paxton said in a statement. “This plan will ensure that happens while putting Texas First, protecting our culture and land, and safeguarding our families and communities. My plan will also work to ensure that data centers are not utilized to power AI platforms that endanger our children.”

His plan comes after Talarico, who has used the issue of data centers as a political cudgel against Paxton, convened bipartisan roundtables and hit the Republican nominee for taking in nearly $500,000 in campaign donations to a variety of political action committees (PACs) that support him.

“Ken Paxton took nearly half a million dollars from data center companies and has ignored Texans in Hood County who asked him to help block a data center development in their community,” Talarico campaign spokesperson JT Ennis told Fox News Digital.

“While Ken Paxton funnels data center money into his campaign, James is fighting to hold data centers accountable. Texans cant afford a Senator whos bought by big data center companies,” he continued. “Texans cant afford Ken Paxtons corruption.”

A SOUTHERN STATE JUST TOOK THE TOP SPOT IN ONE OF THE WORLDS FASTEST-GROWING INDUSTRIES

Hes also not scot-free from receiving data center-adjacent money, either.

Talaricos political operation, through his Lone Star Rising PAC, has received about $10 million from LinkedIn co-founder Reid Hoffman, an advocate for data centers who has argued about the value that they present in the AI arms race against China.

“While James Talarico and his campaign infrastructure accept millions of dollars from data center-affiliated donors and put their interests first, I will lead with Texans at the forefront. Thats exactly why I am proud to release my 4-Point Plan that will put Texans First and protect our communities,” Paxton said.

The first three pillars of Paxtons plan address actions against data centers at the federal level.

They would see Paxton author two bills in the Senate to prevent Chinese technology from powering data centers or being used in American infrastructure and creating criminal liabilities for data center companies if the centers empower AI chatbots that undermine children’s safety.

ONE MONTHLY BILL AMERICANS CANT AVOID IS QUIETLY SURGING THANKS TO EMERGING INDUSTRY: DAT

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