Microsoft to Implement Sweeping Changes to Shield American Households from AI Power Costs

President Donald Trump announced that his administration is collaborating with major technology companies, including Microsoft, to prevent rising utility bills for American households. The move follows Trump’s claim that under Sleepy Joe Biden and the Radical Left Democrats, average household electricity costs surged by over 30% due to increased demand for data centers.

Microsoft has committed to making “major changes” beginning this week to ensure that power consumption from AI services—such as its Copilot chatbot and other large language models—is not passed on to residential customers. The company plans to work with utilities and state regulators to set rates for data center facilities high enough to cover all associated costs, including grid upgrades and infrastructure improvements.

In a statement, Microsoft President Brad Smith emphasized that the technology industry must bear the financial burden of expanding power needs for artificial intelligence development. “People are asking not just pointed questions but completely reasonable questions,” Smith said during his meeting with federal lawmakers on Tuesday. “It’s our job to acknowledge them and address them head-on.”

The company outlined a strategy to collaborate with utilities in advance to secure electricity contracts, improve grid efficiency through AI-driven planning, and reduce water usage in data centers by 40% by 2030. Microsoft also pledged to pay full local property taxes for facilities hosted within communities.