On Wednesday, Tesla Inc. (NASDAQ:TSLA) CEO Elon Musk and Sen. Bernie Sanders (I-Vt.) traded sharp words online after the Vermont independent urged a pause on new AI data center construction.
Sanders Pushes For Halt On AI Data Centers
Sanders on Tuesday called for a moratorium on new AI data centers, arguing the industry is being driven by billionaires seeking “more wealth and even more power,” not the interests of working families.
He said the rapid growth of AI risks eliminating tens of millions of jobs while placing heavy strains on public resources.
In a separate post on Wednesday, Sanders warned that AI data centers could push electricity bills higher and generate emissions comparable to driving more than 300 billion miles.
“We need a moratorium on the construction of new AI data centers,” he wrote.
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Online Criticism Sparks Musk’s Response
The debate escalated after a user on X commented that it may be easier to colonize space than to dismantle bureaucratic inefficiency and regulatory capture.
Musk responded by taking aim at Sanders, writing, “The takers like Bernie will eventually follow the makers, but they’re cowards too and lack any sense of adventure, so they will wait until it is safe.”
Sanders Pushes Back On Jobs And Inequality
Sanders replied to Musk, rejecting the criticism and reframing the dispute as a question of economic justice.
“Yes, Elon. I do lack ‘any sense of adventure’ when that ‘adventure’ will, as you have made clear, force tens of millions of workers out of their jobs,” Sanders wrote.
He added that the purpose of AI and robotics should be “to improve life for all people, not just to make you and your fellow oligarchs even richer.”
AI Data Centers Drive Surging Power Demand
Experts estimate that data centers already consume roughly 5% of electricity generated in the U.S., and that share is expected to climb significantly as artificial intelligence use expands.
Earlier this month, Musk said SpaceX is pushing ahead with plans to use satellites as orbiting data centers. His comments came after ARK Invest CEO Cathie Wood pointed to an open-source model suggesting SpaceX could reach a valuation of nearly $2.5 trillion by 2030.
Responding to her post, Musk said satellites equipped with localized AI computing that send data back to Earth could become the cheapest way to produce AI data streams within the next three years.
The Tesla and SpaceX CEO added that space-based systems could also be the fastest way to scale AI within four years, arguing that reliable and affordable sources of electricity on Earth are becoming increasingly limited.
Musk previously said Tesla is now delivering the fourth generation of its AI chip, AI4, as it moves toward finalizing AI5 and starting early development on AI6, with the long-term goal of rolling out a new chip design into mass production each year.
He also said Tesla anticipates eventually manufacturing more AI chips than the rest of the industry combined.
Tesla is also maintaining a solid upward price trend across short, medium and long-term time frames. More detailed insights are available through Benzinga Edge Stock Rankings.
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Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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