Wire · regulatory
Texas Senators backtrack on voting for bill enabling rapid data center expansion
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Fusion42 · 29 July 2026 · Fusion42 review
Texas senators are reconsidering a 2013 law that granted significant tax exemptions to data centres, citing unexpectedly rapid expansion and a projected $3.3 billion loss in tax revenue over the next two years. Facing voter backlash, key Republican lawmakers, including the governor, now support repealing the incentives that helped make the state a global hub.
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◆ ◆ The Wire takeaway
The era of subsidised data centre expansion in America's largest market is over. If you are building or planning a data centre in Texas, your financial model is now wrong.
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