Slowing data center construction signals the need for pro-growth reforms

America’s artificial intelligence boom is running into roadblocks.

Bloomberg reports that half of all data-center construction plans have been canceled or delayed at the beginning of 2026. This slowing growth is due in part to local building moratoriums, tax code phaseouts, and trouble connecting to an increasingly bottlenecked grid. As demand for data centers increases, these supply constraints could make everything from AI to financial services and cloud computing more expensive and slow economic growth.