BlackRock CEO Larry Fink stated that a potential moratorium on data center construction in the US could trigger a recession. He emphasized that current economic growth is heavily reliant on capital expenditures related to AI infrastructure, including buildings, chips, and power grid development.
Wall Street analysts project that capital spending on AI could exceed $1 trillion by 2027 and surpass $5 trillion by 2030. According to data from economist Jason Furman, technology investments accounted for approximately 92% of US economic growth during the first half of 2025.
The asset manager recently reported record assets under management totaling $15.5 trillion. BlackRock has also entered the sector through its AI Infrastructure Partnership fund, which initiated its first capital deployment during the third quarter.
Public opposition to data centers has emerged due to concerns over utility costs, water consumption, and environmental impact. In July, New York became the first state to implement a pause on new data center permits for up to one year to establish new regulatory guidelines.
