New York has become the first U.S. state to impose a temporary statewide moratorium on the construction of large data centers, aiming to balance the rapid growth of artificial intelligence with concerns over energy use and environmental impact. The one-year pause applies to new facilities requiring 50 megawatts or more of electricity, giving state officials time to establish new environmental standards and guidelines for future projects.

Supporters say the measure will help protect power grids, water resources, and local communities from the growing demands ...