Strategic Report  ·  2026-08-18

Powering Innovation: Data Centers, Compute, and U.S. Competitiveness

Strategic ReportHigh impactUnited States
CSIS's Renewing American Innovation program published a policy paper by Sujai Shivakumar and Shruti Sharma arguing that AI, cloud computing, and digital services have made compute a strategic national resource on par with energy. The paper examines how the U.S. can expand data-center infrastructure while addressing community concerns, and recommends tying data-center incentives to measurable community benefits, prioritizing brownfield and existing industrial or federal sites over new greenfield development, and locating new compute capacity near universities, national labs, and advanced-manufacturing hubs to maximize innovation spillovers.
Gives policymakers, utilities, and corporate infrastructure/government-affairs teams a concrete framework for balancing rapid AI compute buildout against grid, land-use, and community constraints that are increasingly triggering local opposition and moratoriums.
Brief infrastructure and government-affairs teams on the brownfield-first, community-benefit siting framework before negotiating new data center locations or incentive packages.
CSIS: Powering Innovation: Data Centers, Compute, and U.S. Competitiveness
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