Democrats win control raising risk for GPU megadeals

The author argues that the Democratic sweep in the midterm elections increases the political and financial risk for very large GPU data center megaprojects due to local opposition and rising power costs. As regulators shift transmission costs and delay projects, lenders face heightened permitting, power cost, and timeline risks. Consequently, the author suggests that private credit and capital seeking AI exposure should pivot toward smaller compute middle-market GPU deals. Open article →