Add as a preferred source on GoogleBlackRock CEO Larry Fink Says a U.S. Data-Center Moratorium Would Mean Recession
Lawmakers in 16 states were considering data-center bans as of Sept. 15. Fink did not specify the scope or duration of the moratorium he meant.
BlackRock Chairman and CEO Larry Fink warned that a U.S. moratorium on data-center construction would put the country into recession, linking the risk to investment in AI infrastructure.
“If we have a moratorium of some sort in this country, we will be in a recession,” Fink said in an Oct. 14 interview. He connected that possibility to spending on the data-center buildout. On data-center rumors and public fear, he said, “Most of it is on misinformation.”
Fink did not outline the scope or length of the moratorium he had in mind. He gave no estimate of its effect on national output, so his warning included no specific GDP forecast or timetable.
New York’s July 14 permit pause directs state environmental regulators to hold certain applications for data-center projects that consume or could consume at least 50 megawatts while an environmental review proceeds. The order covers a defined category of permit applications. Lawmakers in 16 states were considering data-center development bans as of Sept. 15.
County-level employment findings describe local effects of data-center growth. A typical county gained 100 to 200 jobs after its first large data center, with the estimate varying by facility type. During the first decade after a county’s first large facility, data-processing employment rose 56% and telecommunications employment rose 43%; wages were unchanged. The analysis covered 2003 through 2024 and drew on roughly 1,500 U.S. facilities and 52 announced projects that were later canceled. These county figures do not measure the effect of a nationwide construction pause on GDP.
As of Sept. 30, BlackRock had $15.5 trillion in assets under management and recorded $205 billion in net inflows during the quarter. Those figures provide company context but do not quantify the national economic exposure Fink described.
The Bureau of Economic Analysis is scheduled to release its advance estimate of third-quarter GDP on Oct. 29 at 8:30 a.m. ET (12:30 UTC).
Sonny Jang
ReporterSonny Jang reports on people and leadership in digital assets for TokenPost. Send corrections or tips to info@tokenpost.com.