Infrastructure

US voters in the 2026 midterm elections voted against AI data centers in at least 38 of more than 40 ballot measures across 13 states, passing outright bans in six cities and power limits in 12. Pro-data center politicians also lost offices nationwide, including Texas Governor Greg Abbott, who was defeated by Democratic challenger Gina Hinojosa after his support for AI data centers became a central campaign issue.

Interconnects examines the scale of the open model inference market by tracking public token volume disclosures from startups like Baseten, Fireworks, and Together AI alongside OpenRouter API metrics. The available data indicates near-exponential growth in usage, including Fireworks serving over 40 trillion tokens daily for customized models alone, which the author compares against Google's reported platform token volumes.

An editorial from 404 Media reports that American voters in the November 2026 midterm elections broadly rejected candidates backed by the Trump administration and Silicon Valley executives, despite hundreds of millions of dollars in political spending from AI and crypto donors. Voters also approved 39 out of 40 local ballot measures to restrict AI data center projects and elected officials campaigning on data center moratoriums in states like Ohio and New York.

Alphabet's third-quarter earnings showed Google Search revenue growth slowing to 12 percent and paid click growth dropping to 8 percent, even as search queries rose at their fastest rate in five years. Following the report, Alphabet shares fell about 14 percent amid investor concern over the company's plans to spend roughly $200 billion on AI-focused infrastructure this year.

SemiAnalysis reports that SpaceX is rapidly constructing massive AI datacenter capacity across multiple locations, including expansions at Colossus 2 and new sites at Starbase and TeraFab in Texas, targeting roughly 13GW by 2027. To achieve record-breaking build times and bypass grid constraints, the company is utilizing modular equipment from Tesla, mobile gas turbines, and a nearly 6GWh battery energy storage system.

AI inference startup Fal raised $1.3 billion in a Series F round led by Bessemer Venture Partners, doubling its valuation to $16 billion since April. The company, which hosts video, image, and audio models, surpassed $800 million in annualized revenue earlier this year amid surging demand for running open-source models.

Facing multi-year delays for grid connections and new turbines, AI data center operators are turning to retired aircraft engines rebuilt to burn natural gas to generate electricity quickly. Companies including xAI, OpenAI, and Crusoe are deploying these converted jet engines to bring facilities online within two years, despite their lower efficiency and higher emissions.

U.S. tech giants including Google and Meta have seen their off-balance-sheet AI-related obligations grow by 90% in six months to approximately $3.2 trillion. These commitments for AI infrastructure now reach 80% of the companies' assets, raising concerns among investors over the scale of ongoing spending.

Ukrainian drone strikes have damaged Russian data centers housing AI supercomputers and disrupted cloud services operated by companies like Yandex and Sberbank. In response, the Kremlin is mandating emergency compute reserves for state needs, while Russian firms explore hiding data centers underground in mines.

Apple posted record fiscal year revenue and earnings per share, driven by strong fourth-quarter sales for the iPhone and Mac. The company is capitalizing on the AI boom while avoiding the massive infrastructure spending of its competitors, though it warned that rising memory costs could squeeze holiday quarter profit margins.

Anthropic filed an amended Form S-1 for its upcoming IPO, reporting $17 billion in third-quarter revenue and $33.24 billion in revenue for the first nine months of the year alongside a $104 billion net loss. The filing also revealed $895.4 billion in future purchase and lease commitments, nearly all of which are dedicated to compute and infrastructure.

Oracle filed plans with the SEC to issue $10 billion in common stock and $10 billion in senior notes to fund its artificial intelligence infrastructure buildout. Following the announcement, the company's shares fell 8.8% amid investor concerns over its $125.34 billion debt load and rising credit default swap spreads.

OpenAI announced a pilot "Grid Protectors Program" at an upcoming data center in Georgia, promising to free up to 1,000 megawatts of power for local communities during emergencies or extreme weather. The initiative comes amid growing local opposition across the US to the massive energy demands of new data center projects.

OpenAI details how it built Pando, a custom Git-compatible backend. The system was engineered to handle the scale of software development enabled by Codex.