Benson and James call for data center pause as back-to-back ads question their commitment

Data centers have emerged as a key issue in the Michigan governor’s race and candidates are taking notice.

In a statewide campaign ad released over the weekend, Democratic gubernatorial candidate Jocelyn Benson called for a moratorium on Michigan data center projects and an end to associated tax breaks.

Her 30-second ad, titled “Michigan First,” also included a fair bit of criticism of her Republican opponent, U.S. Rep. John James, R-Shelby Township. The ad described James as trying to “shove (data centers) down our throats.”

Just days later in a different ad, a super PAC (political action committee) supporting James made a similar claim about Benson. 

The ad called “Steamrolled” sought to tie Benson to her husband’s work for Related Digital, a subsidiary of a company developing the state’s first hyperscale data center in Saline Township.

Both campaigns pushed back against the others’ claims.

Data centers provide the infrastructure needed to process and store information that powers artificial intelligence (AI), cloud computing and the global financial system.

Community members across the state have protested dozens of data center development proposals in recent months for various reasons, including electricity and water demands. Both ads come after new polling released by EPIC-MRA in August found a majority of Michiganders oppose both data center development and related tax breaks.

Benson and James will face off during the Nov. 3 general election to replace term-limited Democratic Gov. Gretchen Whitmer. 

Both candidates have mentioned data center moratoriums amid “eye-popping” opposition

Both Benson and James have expanded their messaging on data centers in recent months, from calls for guardrails to speaking about the necessity for a temporary pause on development.

During a May press conference on Mackinac Island, an event where business leaders hailed data centers as “golden tickets” for communities, James spoke about the importance of maintaining local control.

He said the state needs to diversify its economy, but not at the expense of its residents.

“Michigan is open for business, but we are not for sale,” he said.

At a July debate in Grand Rapids, he spoke about the need to ensure that developers prevent pollution and prioritize building on blighted land. 

James said when asked on the campaign trail the same month that a lack of action on those protections should equal a moratorium. 

“No new data centers until we protect our people,” he said, adding that if developers implement natural resource protections and don’t increase strain on the power grid, “they do those things, then we can talk.”

Benson released a data center plan in March, detailing how she would require public hearings and disclosure requirements.

She said during a United Auto Workers forum in May that protections are necessary to ensure natural resources are safeguarded and energy costs are driven down.

“Michigan built the middle class,” Benson said. “We built and are defined by labor. We must be the state that now leads the nation in showing how it’s done to protect labor from the increase in potential AI jobs that could take away voices and wages of our citizens.”

More recently, Benson has called for a moratorium on data center development until those guardrails are implemented. 

During a July press conference in Grand Rapids, she said data centers that break agreements will be held accountable, “up to and including a moratorium in the future.”

In her most recent ad, Benson said “we need to put a moratorium on data centers,” adding a call for an end to tax breaks for data center companies. 

Michigan lawmakers have passed several sets of tax incentives for data center projects of varying sizes, including 2024 legislation that some industry boosters claim lured projects to Michigan.

Critics say the incentives don’t contain necessary environmental protections, have the potential to reduce state revenue and lack transparency.

Both candidates’ focus on data centers comes as more Michiganders appear to oppose them. 

The EPIC-MRA poll of likely voters conducted in late August found that a majority opposed both data centers and federal tax incentives supporting them.

The phone survey of 600 voters included a ±4 point margin of error. The two data center questions were commissioned by Climate Power. 

When asked if they “support or oppose the development of data center facilities in Michigan,” 62% of respondents were either strongly or somewhat in opposition. A total of 20% were in support, with 18% undecided or unwilling to answer.

Another 73% of respondents said they oppose “current federal tax breaks and other federal policies that were put in place to encourage and speed up the development of data centers.” A total of 12% were supportive, and 15% were undecided/refused.

EPIC-MRA President Bernie Porn called the opposition “eye-popping” and said it should serve as a “flashing red sign to policymakers.”

Super PAC criticizes Benson for husband’s ties to Saline Township data center developer

Gubernatorial candidates and the groups that support them have also gone on the data center offensive in recent days.

In its Monday ad, James-supporting super PAC Mission Michigan criticized Benson for her husband Ryan Friedrichs’ ties to the company building a 2.2 million-square-foot hyperscale data center for OpenAI and Oracle in Saline Township.

“A year ago, this town rejected a data center. How did Jocelyn Benson see it get built anyway? Benson’s husband works for the company building it,” a voiceover reads.

Her campaign called the ad “blatantly false.”

Benson has gotten similar questions about her husband’s involvement on the campaign trail. She’s insisted he has recused himself from any state-related work that could come before her administration.

Friedrichs works as a vice president at Related Companies, a subsidiary of which is overseeing construction of the Saline Township data center that has been protested by residents.

The township board voted to deny rezoning land for the project, but construction is moving forward after the township settled a lawsuitbrought by the subsidiary Related Digital and property owners.

Mission Michigan’s ad included clips from a local government meeting where Friedrichs spoke on behalf of the project, and it described him as having “lobbied” for it.

During a September 2025 Saline Township Board meeting, Friedrichs spoke briefly in response to questions about Related Digital’s “connection to Michigan,” describing himself as one of the first employees the company hired. He said at the time he’d been with the company for five years working on the University of Michigan’s Innovation Campus in Detroit.

“I wanted Related to come to Michigan because of how they work,” he said. “… As data centers arrive, and they are arriving, to do them right. Because you can do them wrong, and companies do, or you can do them right.”

Benson’s campaign reiterated that Friedrichs has moved to a new position and recused himself from Michigan projects. In March, he shared that he would shift to a new role away from the state.

Benson press secretary Rajan Srinivasan also called the ad “deceptive” and “false,” pushing back against claims that Benson and her family could “take home millions” from the project. Related Companies previously told The Michigan Advance that Friedrichs did not have a role in the financing of the project and made no commission.

Benson’s campaign described the Saline data center as a Whitmer administration project that she has no involvement in.

“It’s going to take more than a deceptive, false ad to paper over John James’ record…” Srinivasan said. 

Benson criticizes James for family stock purchases, votes in Congress

In her own ad, Benson criticized James for buying stock in “data center companies” and several votes in Congress on a large spending package that briefly included a moratorium on data center regulation.

James’ campaign reiterated his position on data center guardrails in response.

When asked to elaborate on the claims about data center company stock, Benson’s campaign pointed to several 2024 disclosures when he traded stocks for companies like Amazon and Meta, which have AI components. 

Many of those are also among the most commonly traded. Benson’s campaign referenced those same companies reporting lower tax bills this year after the passage of the One Big Beautiful Bill Act, a sweeping 2025 tax and spending package.

The Michigan Democratic Party has criticized more recent transactions.

On July 12, James disclosed that his wife purchased between $15,001 and $50,000 in SpaceX stock.

The MDP pointed to a subsidiary of Elon Musk’s company, SpaceXAI, that has been a “major player in building data centers nationwide.” 

The party said James’ seat on the House Committee on Energy and Commerce, which oversees some elements of SpaceX’s business, could be a potential conflict of interest.

A spokesperson for James’ congressional office previously told CNBC that “the James children are excited about space exploration,” explaining that the stock had been purchased through a brokerage firm “like other members of the public were welcome to do.”

When asked for comment by MLive, a spokesperson additionally pointed to James’ cosponsorship of a bill to ban insider trading by members of Congress.

Benson’s ad also criticizes James for several individual votes on the One Big Beautiful Bill.

An early version of the bill included a 10-year moratorium prohibiting states from enforcing “any law or regulation regulating artificial intelligence models, artificial intelligence systems or automated decision systems.”

The provision was later removed by the Senate. Benson’s campaign referenced James’ votes on the package in the energy and commerce committee, including against a minority amendment that would remove the moratorium language.

And Benson’s ad referred to contributions James has received “over his career” from data center developers like the Rakolta family, whose Walbridge construction firm is building the Saline Township data center.

Reporting by Bridge Michigan found at least $113,850 in contributions to James campaign funds from the Rakoltas or Walbridge officials since 2018, with a large portion to previous campaigns for the U.S. House.

Campaign spokesperson Alyvia Bailey said in response that “John James’ approach to data centers has been clear: no new data centers until we protect our people.”

“He will re-establish local control, ensure no utility rate increases for residents or secret deals, protect our water and air, prioritize brownfields and preserve farmland,” Bailey said, also reiterating statements similar to Mission Michigan’s ad.