I think the point being made regarding xAI was that even if the datacenter is local that doesn't necessarily result in any meaningful difference. In other words, having more AI datacenters under your jurisdiction might or might not provide a meaningful ability to regulate in a way that shapes the impact of AI on the economy. (I do agree with you that it's almost certainly a good idea to have them though.)

> the point being made regarding xAI was that even if the datacenter is local that doesn't necessarily result in any meaningful difference

Oh, absolutely agree. But the datacentre in Memphis is within its jurisdiction. If Nashville decides to stick it with a tax to fund a UBI, they can. Sacramento and Columbus don't have that option.

To be clear, I am not arguing for more datacenters being built the way they are being built. But if you believe AI will replace labour, you want to control those datacenters. Blocking them explicitly cedes that control.