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David Sacks: Kathy Hochul is LYING about Datacenters!

July 19, 2026 / 01:32

This episode discusses the implications of a statewide moratorium on hyperscale data centers, featuring arguments about energy consumption, land use, and pollution.

The conversation includes a critique of New York Governor Kathy Hochul's claims regarding data centers, emphasizing that they do not consume excessive power if they generate their own energy. The discussion highlights the importance of allowing AI companies to become energy producers.

Participants argue that data centers are efficient in land use and that concerns about noise and water consumption are exaggerated. They assert that modern data centers can mitigate environmental impacts.

Additionally, the episode addresses the perception of data centers as a source of pollution, countering that natural gas is a clean energy source. The speakers advocate for the economic benefits of data centers in the context of AI development.

TLDR

The episode debates the merits and misconceptions of hyperscale data centers amid a statewide moratorium in New York.

Episode

1:32
00:00:00
That is why today I'll be signing the nation's first-ever statewide moratorium on hyperscale data centers.
00:00:07
>> Everything she's saying there is a false accusation on the data centers. So, let's just go one by one. So, she's
00:00:13
saying >> Please. >> that they eat up all of the power. Well, yeah, I mean, look, if you connect to
00:00:19
the grid without producing more power and you force data centers to compete with residential ratepayers, then yeah,
00:00:25
you could drive up utility prices. However, if you do what Chamath said and let them build behind the meter, then
00:00:31
they bring their own power and that's what the president has advocated for since the beginning of his
00:00:35
administration is let the AI companies become power companies. So, that is the way to solve the energy problem or the
00:00:41
utility problem. Then she's talking about eating up land. is these data centers are a model of land use
00:00:47
efficiency. We have a ton of land in this country, obviously. The supposed noise pollution, that's largely made up.
00:00:53
That can be dealt with. You obviously don't want to put these things right next to a residential area, but create a
00:00:58
little bit of distance and it's fine. The whole water consumption thing is largely a hoax.
00:01:03
>> Total hoax. >> Modern data centers recirculate the water. One final thing just on the point
00:01:08
that Hochul is making, she said it created a lot of pollution. Natural gas, which is how most of these data centers
00:01:14
are powered, is one of the most clean burning sources of power that we have. These data centers have become the
00:01:19
scapegoat for all of the angst that people have about AI. When you compare economic impact to all these different
00:01:26
things, data centers are like, honestly, one of the best things we can be building as a nation.

Episode Highlights

  • Data Centers and Energy Solutions
    The discussion highlights how data centers can solve energy problems by becoming power companies.
    “Let the AI companies become power companies.”
    @ 00m 36s
    July 19, 2026
  • Misconceptions About Data Centers
    Claims about data centers causing pollution and resource depletion are challenged as largely false.
    “The supposed noise pollution, that's largely made up.”
    @ 00m 51s
    July 19, 2026

Episode Quotes

  • Modern data centers recirculate the water. Total hoax.
    David Sacks: Kathy Hochul is LYING about Datacenters!
  • Natural gas is one of the most clean burning sources of power that we have.
    David Sacks: Kathy Hochul is LYING about Datacenters!
  • These data centers have become the scapegoat for all of the angst about AI.
    David Sacks: Kathy Hochul is LYING about Datacenters!

Key Moments

  • False Accusations00:07
  • Energy Solutions00:36
  • Land Use Efficiency00:45
  • Pollution Claims01:12