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[SITUATION] · [ACTIVE] · [BUSINESS]

2 clusters · 8 sources · 4 days · First seen · Last updated

Texas gubernatorial election and data center policy

Overview

The election of Democrat Gina Hinojosa as Governor of Texas, defeating Republican incumbent Greg Abbott, has created market uncertainty for data center operators. Hinojosa campaigned on a platform advocating for a moratorium on new data center developments until the state legislature can implement community protections regarding water supplies, electricity costs, and local approval processes.

Following the election, shares of companies with significant Texas footprints, such as CoreWeave and Cipher Digital, experienced notable declines. CoreWeave saw shares drop more than 9 percent in premarket trading, while Cipher Digital fell nearly 19 percent.

In response to the proposed moratorium and potential abolition of subsidies, CoreWeave CEO Michael Intrator sent a letter to Governor-elect Hinojosa requesting cooperation. Intrator expressed support for ensuring data center growth benefits Texas residents and requested to work with the transition team to secure the completion of already permitted projects and establish sustainable standards for future developments.

Entities

CoreWeave · Gina Hinojosa · Greg Abbott · Cipher Digital · Michael Intrator

Timeline

  1. [BUSINESS] 2 sources
    CoreWeave seeks cooperation with Texas Governor-elect Gina Hinojosa

    CoreWeave CEO Michael Intrator has reached out to Texas Governor-elect Gina Hinojosa to discuss completing permitted data center projects and establishing sustainable development standards.

  2. [BUSINESS] 6 sources
    Texas gubernatorial election triggers data center stock declines

    Cipher Digital and CoreWeave shares fell after Gina Hinojosa won the Texas gubernatorial election, following her proposal for a moratorium on new data center developments.

Sources

canceractive.com · cryptobriefing.com · m.imaeil.com · privateequitywire.co.uk · rande-academy.cz · thecryptobasic.com · thefinanciallyindependentmillennial.com · tokenpost.kr