Shares of Space Exploration Technologies Corp. (SpaceX) and Tesla, Inc. fell nearly 4% in premarket trading Wednesday as investors weighed the Texas election result and its implications for AI data center development, CNBC reported.
The Associated Press projected Democrat Gina Hinojosa the winner of the governor’s race over Republican Gov. Greg Abbott. CNBC reported that Hinojosa supports a moratorium on AI data centers. Wells Fargo estimates Texas accounts for 27% of planned U.S. data center capacity, measured in gigawatts.
SpaceX fell 3.9% and Tesla lost 3.6%, according to CNBC. Among companies involved in data center development, CoreWeave dropped 4.2%, Nebius Group declined 1.5% and Oracle fell 2.4%. The broader technology market was mixed: Nasdaq-100 futures were flat, while the technology sector fund XLK gained 0.7%.
The premarket moves followed after-hours declines of about 1.8% for both companies on Tuesday, as reported by Bloomberg. The Associated Press later called both chambers of Congress for Democrats.
Optimal Advisory, quoted by CNBC, said state and local officials could gain political support by limiting data center development. The firm said such projects had been promoted as economic development in 2024 and 2025 but became unpopular during the midterm campaign. Restrictions could delay projects or increase their costs, it said.
