Paxton Proposes Ban on Chinese Tech in Data Centers

Texas Attorney General Ken Paxton has unveiled a four-point federal legislative platform centered on data centers and artificial intelligence infrastructure. The proposals include banning Chinese-linked technology from operating in US data centers and critical infrastructure, aligning with Senator Tom Cotton's DATA Act. Additionally, Paxton wants to make data center operators criminally liable if their facilities are used to run AI chatbots that harm children.

The platform also includes repealing Texas's sales tax exemptions for data centers and increasing transparency around data center projects. The proposals have significant implications for the industry, with large facilities needing to audit and replace Chinese technology from their supply chains. This could be expensive and logistically complex.

Paxton is running for US Senate and has stated that his proposals are part of his campaign platform. The DATA Act's existence suggests that these ideas are already finding sponsors in Washington around tighter controls on Chinese technology in critical infrastructure and liability frameworks governing AI systems.