Artificial intelligence infrastructure in the United States faces pressure from permitting uncertainty and financing costs, with Nomura warning that projects planned for 2028 are more exposed to approval delays.
Nomura’s Wednesday note said the 2027 buildout should be less affected in the near term because construction is already underway on much of that capacity. The bank identified the 2028 pipeline as more vulnerable to approval delays and said tighter rules could become a larger drag on AI investment from then.
CNBC reported that Hinojosa’s proposal would pause new data center permits across Texas. Projects already under construction would reportedly be exempt, the outlet said. Hinojosa’s election was part of the Nov. 3 midterm cycle, which EconoTimes previously covered in a report on Democratic control of Congress.
James Sullivan, JPMorgan’s managing director and co-head of global fundamental research, told CNBC on Thursday that borrowing spreads for neocloud companies had widened significantly. He said raising additional capital now costs those AI computing providers substantially more than it costs hyperscalers, which draw revenue from more diverse customer bases and revenue streams. Sullivan said supply constraints had made existing capacity “significantly more valuable.”
CNBC reported a split in Wednesday trading: Micron lost 7% and Nvidia 3.17%, while shares of Microsoft and Amazon each gained more than 6%; CoreWeave fell around 10%.
JPMorgan Asset Management’s Oct. 20 research note said lower-rated neoclouds are more exposed to borrowing costs, energy prices and refinancing. It said hyperscalers have broader cloud operations and more cash flow generated within their businesses. Financially stronger hyperscalers could obtain computing capacity at a lower cost or acquire assets if less resilient firms reduce their plans, the note said.
