President Trump unveiled a new 'ratepayer protection pledge' requiring Big Tech companies building AI data centers to fund their own electricity usage. During his State of the Union address, Trump said companies like Alphabet, Meta, and Amazon must now 'bring their own power' and construct dedicated energy plants to meet surging AI infrastructure demands.

This mandate comes as US data center power demand doubled between 2018 and 2024 and could triple by 2028, according to Lawrence Berkeley National Laboratory estimates. Retail electricity prices hit 17.24 cents per kilowatt-hour in December, up 6% year-over-year. The policy aims to prevent AI infrastructure growth from driving up consumer energy costs, addressing concerns that have already prompted at least six states to propose data center construction bans.

Major AI developers including Microsoft and OpenAI had already independently pledged to cover their energy costs. Microsoft committed to paying utility rates high enough to fully cover data center energy expenses, while OpenAI promised its operations wouldn't increase consumer electricity prices. The White House is pressuring grid operators like PJM Interconnection to hold emergency auctions for long-term power agreements, with Trump claiming the policy will lower electricity prices for communities while ensuring tech companies' energy access.