Fink warns a US data center construction pause would cause recession
JLL estimates capacity through 2030 needs $3 trillion in investment; 77 percent of the construction pipeline is already pre-committed to tenants.
At a glance
BlackRock chief executive Larry Fink said a nationwide moratorium on US data center construction would cause a recession.
JLL estimates that forecast data center capacity through 2030 will require $3 trillion in investment, with global occupancy at 97 percent and 77 percent of the construction pipeline pre-committed to tenants.
Fink called the growing opposition mostly "misinformation," and said data centers are creating "more new jobs than ever before," according to the reported interview.
BlackRock chief executive Larry Fink said a nationwide moratorium on US data center construction would cause a recession. He argued that a large share of the US economy is now based on the buildout of AI infrastructure. Data Center Dynamics reported the comments, which Fink made to CNBC.
JLL estimates that forecast data center capacity through 2030 will require $3 trillion in investment, with global occupancy at 97 percent and 77 percent of the construction pipeline pre-committed to tenants. In the US, demand is five times what it was two years ago and vacancy has run at one percent for three years in a row, according to the real estate services firm. JLL still describes clear investor confidence in the industry, with development accelerating to meet demand growth.
BlackRock sits at the top of infrastructure fundraising. The firm returned to the top of Infrastructure Investor's five-year ranking in 2026, as this publication reported in August.
Pre-committed pipeline, contested permits
Multiple data center moratoriums are being considered or implemented up and down the US, according to Data Center Dynamics. Of those implemented, the shortest lasted a week while the longest will stretch up to a year and a half. Loudoun County, Virginia, the state's data center corridor, voted last month to block new applications for facilities. Data Center Dynamics notes that even traditionally data center-friendly jurisdictions are now looking into the effects of data centers on their local areas.
Fink called the growing opposition mostly "misinformation," and said data centers are creating "more new jobs than ever before," according to the reported interview.
If consent is the gate, as this publication has argued, moratoriums are one constraint on approvals and interconnection. Discussions around energy costs and grid upgrades remain unfinished, and shortages of equipment, raw materials and labor are already delaying project delivery globally, per Data Center Dynamics. The longest moratorium in the current crop runs up to a year and a half.
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