Senate Democrats question Meta, Google, Amazon and Microsoft over AI tax breaks
Letters led by Sen. Elizabeth Warren ask how the companies' data-centre spending was subsidised by the 2025 U.S. tax package.
Senate Democrats led by Sen. Elizabeth Warren have asked the chief executives of Meta, Amazon, Alphabet and Microsoft for details of the tax deductions they have claimed on AI and data-centre development, CNBC reported on Monday.
The letters, sent Sunday night, seek information on how the companies' spending has been subsidised by tax breaks in the 2025 tax and spending package passed by Republicans, and on the companies' lobbying ahead of its passage. Sens. Tina Smith, Jeff Merkley and Elissa Slotkin were among the co-signers.
Two of the four companies, Amazon and Microsoft, are headquartered in the Seattle area, where data-centre investment and its public costs have become a recurring political issue.
Scrutiny of AI infrastructure subsidies could shape where the next wave of data centres is built, including in power-rich regions of the Pacific Northwest and British Columbia.
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