The proposed House Bill 2515, which aims to regulate data centers in Washington state, is facing opposition from Microsoft. The tech giant's senior director of government affairs, Lauren McDonald, criticized the bill as “uniquely anti-competitive,” urging Senate leaders to amend it before further progress.
This legislation seeks to ensure utilities and data centers form agreements to protect consumers from rising electricity costs and to enhance transparency regarding environmental effects. Microsoft operates around 30 data centers in Washington and plans substantial investments of up to $140 billion globally this year. In comparison, Amazon has committed $200 billion for its capital expenditures, largely for its cloud services.
Concerns are growing among elected officials and communities about the impact of these data centers on electricity rates and water consumption. Microsoft President Brad Smith recently initiated a pledge to cover electrical costs and reaffirmed the company's support for local taxes. Meanwhile, reports indicate that both Microsoft and Amazon are working to dilute the bill's provisions, with Amazon currently remaining neutral on the proposal.