AI industry's $1.5 million Kansas bet targets governor's race and data center battles

A new super PAC aligned with the artificial intelligence industry is spending more than $1.5 million to support Kansas State Senator Ty Masterson in the gubernatorial race. The group, Building the Future, announced the expenditure on Monday, marking a direct financial entry into a contest that the nonpartisan Cook Political Report currently lists as leaning Republican. Masterson, a Republican, faces Democratic Governor Laura Kelly in a state where control of the executive branch is a primary target for the GOP this fall.

Building the Future operates as an offshoot of Leading the Future, a super PAC backed by major AI figures that has become a primary vehicle for industry interests in the midterm elections. The new group was formed in August alongside Build American AI, a nonprofit in the same network that launched a multimillion-dollar advertising campaign across Kansas, Ohio, and Wisconsin. That earlier campaign sought to promote specific policies regarding data center governance, including protections for water resources and electricity rates.

The spending in Kansas occurs as opposition to large-scale data center development intensifies nationwide. In the state, Masterson has opposed moratoriums on new construction and voted for a 2025 law granting sales tax exemptions to data center investments. His opponent, Governor Laura Kelly, voted for that same law but has since called for a statewide pause on new developments. In a statement on Monday, Kelly described Masterson as a "stooge for Big Tech" who intends to place data centers in every cornfield and grant tax breaks that raise costs for everyday residents.

The super PAC is also deploying funds in South Carolina, where it plans to spend approximately $1.5 million on advertising for Republican Senator Darline Graham. Graham faces Democratic pastor Adam Hamilton in a competitive Senate race. In that contest, Graham has framed data center investments as a matter of national security while supporting local control over construction. Her opponent, Annie Andrews, has called for a moratorium on new projects and labeled Graham "Data Center Darline" in campaign messaging.

Masterson did not immediately provide comment on the new spending. The injection of millions into these two states suggests that data center development has evolved from a local zoning issue into a national political flashpoint. The alignment between industry-backed super PACs and specific candidates indicates a coordinated effort to secure legislative environments favorable to the infrastructure required for the AI boom.

The financial support underscores the growing influence of technology capital in state-level races. By backing candidates who have already enacted favorable tax policies or oppose construction pauses, the group aims to entrench these advantages before the November elections. The simultaneous spending in Kansas and South Carolina highlights the geographic spread of this strategy, targeting states with both open governorships and competitive Senate contests.