--- title: "If There Wasn’t Enough Opposition to AI Data Centers Already, Now They’re Supercharging Inflation" description: "The [shockingly unpopular]() drive to pepper the United States with massive AI data centers isn't just [driving up electricity prices](), [wasting huge amounts of water](), and [reviving heavy-polluter power stations]() — it's *also* making life more expensive for the average…" date: "2026-06-26" modified: "2026-06-26" authors: - name: "Victor Tangermann" job_title: "Senior Editor" link: "https://futurism.com/authors/victor" url: "https://futurism.com/artificial-intelligence/ai-data-centers-opposition-inflation" categories: - "Artificial Intelligence" --- # If There Wasn’t Enough Opposition to AI Data Centers Already, Now They’re Supercharging Inflation ![A diverse group of five people shouting passionately, likely at a protest or rally. They appear intense and determined, with some holding signs in the background. The group includes men and women of different ages, with one person wearing glasses and another wearing a checkered shirt. The expressions convey strong emotion and unity.]() *A color-treated photo of a group of angry protestors yelling.* The [shockingly unpopular]() drive to pepper the United States with massive AI data centers isn't just [driving up electricity prices](), [wasting huge amounts of water](), and [reviving heavy-polluter power stations]() — it's *also* making life more expensive for the average American. As the [*Wall Street Journal* reports](), the data center boom is driving a "third wave of inflation" which — following president Donald Trump's unprovoked tariff war and the conflict in Iran choking out oil supplies — is increasing consumer prices even more. We've already seen a massive run on semiconductors cause PC components, like [RAM]() and [storage devices](), to become incredibly unaffordable. Just this week, Apple was [forced to raise prices by hundreds of dollars]() for the vast majority of its offerings, once again highlighting surging costs amidst AI-driven chip shortages. According to the Labor Department, prices for wholesale electronic components and accessories were up a stunning 27 percent last month compared to a year ago. Now, analysts are trying to get a better sense of how these effects could ripple across other markets, as well as how long this inflationary period will last. The results could have major implications for an economy that's increasingly [being held up by a handful]() of AI-crazed tech companies. Proponents of AI continue to argue that the tech is powerful enough to increase productivity enough to push down inflation. Put simply, the idea is that businesses will have an easier time meeting demand without raising prices. At least, that's the theory — but it's not what's playing out right now. Economists at UBS [warn]() that the current frenzy to construct new data centers is only the very beginning. Productivity gains and dis-inflationary pressure could take years to materialize, if ever. In other words, consumers will have to bear the brunt of the tech industry's latest obsession for the time being, a sobering predicament. Worse yet, unlike tariffs and the war in Iran, AI is a "shock to demand that could persist for years," per the *WSJ*. Companies have earmarked hundreds of billions of dollars in expenses, and construction of data centers has only begun, despite the trend [turning into a major political liability](). **More on AI and inflation:** [*Americans Increasingly Alarmed About Tech Industry’s Looming AI Bubble*]() ## Author I've been at Futurism since 2017, where my role has evolved to encompass design, writing, and increasingly editing. I've always been fascinated by space exploration and advanced transportation, which I've leaned into by interviewing luminaries in those fields while closely following the dimensions of policy and regulation that allow next-generation projects to succeed -- or, sometimes, to fail. I'm also keenly interested in the effects of generative AI on society, policies, and democratic institutions, as well as clean energy, physics and biology, and the vagaries of tech leadership. My work for Futurism has been cited by publications including Ars Technica, Gizmodo, PC Magazine, Jalopnik, Fox News, and the New York Post. I spent my childhood living in locations including Manila, the Philippines, and Geneva, Switzerland, attended McGill University, and now live in Toronto, Canada. Before Futurism I worked at AskMen and a small photography studio. In my free time, I'm an avid gardener, foodie, and craft beer lover, as well as a maker of artisanal hot pepper sauces. I have a magnificent dog named Freida. ### Author social links [Bluesky]()