Business · Companies · 5 hrs ago
US AI data center construction slows as 47 projects stall
US AI data center construction is slowing, with 47 major projects delayed, cancelled or blocked in 2026.
The scale of investment remains striking: AI infrastructure is expected to absorb 3.6% of US gross domestic product, more than past major infrastructure booms cited in the data.
Neocloud companies build and run data centers that AI firms such as OpenAI and Anthropic rent for computing power.
But expected customer revenues may not keep pace with the cost of building these facilities.
Local rules and project restrictions are adding obstacles; more than 1,000 US communities have introduced rules affecting AI infrastructure, and some have imposed temporary pauses.
Investor concerns are also growing as higher borrowing costs and inflation worries weigh on the sector; CoreWeave shares fell about 25% in one week.
Nscale had put 25,000 of its planned 500,000 AI chips online by August 2026, while OpenAI postponed a planned 2026 stock market listing.
The construction or expansion of 47 major US projects for AI data centers was delayed, cancelled or blocked in 2026, according to RegLayer data cited by the Financial Times.
The slowdown comes as funding flows less quickly and companies face constraints on building new data centers.
More than 1,000 US municipalities have adopted rules affecting AI infrastructure, according to the Financial Times.
Neocloud companies that build and operate data centers are under pressure because AI providers’ revenue may not be enough to support the planned facilities.
Nscale reportedly had 25,000 of its planned 500,000 AI chips online by August 2026.
- Who
- US AI data center developers, including neocloud providers such as Nscale.
- What
- Construction and expansion are slowing, with 47 major projects delayed, cancelled or blocked in 2026.
- When
- In 2026; the articles were published on October 18, 2026.
- Where
- The United States.
- Why
- The sources cite local rules and moratoriums, slower funding, and concern that AI providers’ revenue may not support planned data center capacity.
This story does not have two clearly opposing sides.
Investment in expanding internet access amounted to 1.1 percent of US gross domestic product, according to the Columbia Business School statistic cited by Heise.
Nscale reportedly had 25,000 of its planned 500,000 AI chips online.
RegLayer data cited by the Financial Times showed 47 major US data center projects delayed, cancelled or blocked.
CoreWeave’s share price fell about 25 percent, with higher interest costs and inflation concerns cited as reasons.
- Affected projects
- 47 major US construction projects delayed, cancelled or blocked in 2026
- Nscale chips
- 25,000 online by August 2026, out of 500,000 planned
- Municipal rules
- More than 1,000 US municipalities had adopted rules affecting AI infrastructure
- AI investment share
- 3.6 percent of US gross domestic product, projected in a Columbia Business School statistic cited by Heise
- CoreWeave shares
- Fell about 25 percent this week