Biden Administration Prioritizes Domestic AI Infrastructure Development for National Security and Clean Energy

Created: JANUARY 26, 2025

President Biden has signed an executive order aimed at rapidly expanding large-scale artificial intelligence (AI) infrastructure within the United States. This initiative emphasizes national security and climate change considerations. The order directs the Department of Defense and the Department of Energy to lease federal land for private sector development of advanced AI infrastructure.

Biden's statement highlights the importance of maintaining America's leadership in AI, recognizing its potential benefits in areas like healthcare and climate change mitigation. The executive order seeks to ensure that the necessary infrastructure, including data centers and clean power sources, are built quickly and efficiently within the country.

AI data center

An Amazon Web Services data center.

The initiative emphasizes building this infrastructure domestically as crucial for national security, ensuring the safe and secure development of AI, and preventing adversaries from accessing these powerful systems. It also aims to reduce reliance on other countries for AI tools.

Vice President Harris underscored the opportunity to advance American leadership in clean energy technology through the significant power demands of AI operations. She emphasized the importance of securing global leadership in AI for its long-term impact on the economy, society, and national security.

The departments of Defense and Energy will each designate at least three federal sites for private sector AI data center construction through competitive solicitations. Selected developers will bear the costs of construction and operation, including providing sufficient clean energy to power their facilities. The government will lease the land, but the developers will own the infrastructure they create. The administration emphasizes that these developments will not increase electricity costs for consumers.

Biden in Oval Office

President Biden in the Oval Office.

Public labor agreements will be required for construction, and some sites will be reserved for small and medium-sized AI companies. Studies on the impact of AI data centers on electricity prices will be conducted, and the Energy Department will provide assistance to state utility commissions on tariff designs that support connecting large customers with clean energy. The Interior Department will identify suitable lands for clean energy development to support these data centers.

Sullivan at White House briefing

National Security Advisor Jake Sullivan at a White House briefing.

This executive order follows the Biden administration's proposed restrictions on AI chip exports, aiming to balance national security with economic interests. National Security Adviser Jake Sullivan highlighted the goal of maintaining U.S. leadership in AI while ensuring global access to necessary hardware.

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