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Wyoming positions itself to attract AI data center boom amid nationwide tax debates

Wyoming is courting large AI data centers, touting cheap power, ample land and existing fiber as other states consider taxes and moratoriums.

As AI companies race to build new data centers, Wyoming is promoting its abundant land, inexpensive electricity and robust fiber networks to attract the industry. While some states are imposing new taxes or moratoriums, Wyoming’s capital, Cheyenne, recently rejected a proposed one-year ban on new facilities. Lawmakers are also weighing a reclassification of data centers as industrial property, which would increase property taxes.

The debate also includes how to fund the extra power and water needs without burdening residents, with suggestions that operators should cover additional infrastructure costs. Wyoming’s strategy aims to capture a share of the AI investment surge while avoiding the fiscal pressures seen elsewhere.

Why it matters

Wyoming's approach could shape how U.S. states balance AI infrastructure growth with tax policy and resident costs.

In this story

data centersAI boomtax baseproperty tax reliefelectricity demandfiber infrastructureindustrial propertystate policy
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