Democrats' sweep of Congress puts AI companies and data centers in the spotlight

What happened

Democrats, who secured control of both congressional chambers in Tuesday's election, are preparing to use the committee gavels they take over in January to put pressure on the tech sector, The Verge reported. Lawmakers have pointed to hearings with tech chief executives, tighter guardrails on AI and data centers, and investigations into job cuts made by Elon Musk's Department of Government Efficiency (DOGE).

Rep. Greg Casar, who chairs the Congressional Progressive Caucus, said heads of AI companies should be made to testify under oath. He called the backlash against data centers one of the biggest issues of the 2026 election. Rep. Jamie Raskin, the ranking Democrat on the House Judiciary Committee, has sought information from four large tech firms, including Amazon and Oracle, on confidentiality deals signed by public officials reviewing data center plans.

Rep. Sam Liccardo, a Silicon Valley Democrat, said AI safety rules should be the party's first tech priority, with data centers and AI's effect on jobs close behind. He urged Democrats to offer concrete fixes rather than slogans. In a Wednesday note, TD Cowen's Washington Research Group said it expects President Donald Trump to veto any AI safety bill that would slow model release cycles.

Context

Musk spent record sums backing Republicans this cycle. As the public face of DOGE, he oversaw federal job cuts and the elimination of USAID. In 2024 the Kids Online Safety Act won wide Senate support, yet House Republican leadership kept it from advancing. The Chamber of Progress has warned Democrats not to read the result as an anti-tech mandate. Anthropic may find a warmer reception after it resisted Pentagon demands on surveillance and autonomous weapons.