Arizona Governor Proposes Ending Data Center Tax Incentives Amid New Jersey Legislation on Electricity Costs
DATA AND AI INFRASTRUCTURE
Arizona Governor Katie Hobbs has proposed ending tax incentives for data center operators, which currently cost the state $38 million annually. In contrast, New Jersey's former Governor Phil Murphy pocket vetoed legislation to increase electricity costs for large data centers, which must be reintroduced by the new governor. Analysts suggest that while the removal of incentives in Arizona may slightly diminish its appeal, the state's favorable business environment could still attract developers.
Jan 23, 2026, 10:48 AM
