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Argentina

Milei pitches Argentina as regulation-free haven for AI data centres

Argentina is offering tax breaks and no AI regulation to lure data-centre investment, a move that could shape its energy and tech investment pipeline.

Photo: Yahoo News

What happened

Argentine President Javier Milei is courting AI data-centre investment in Patagonia, promising light regulation and tax breaks. Yahoo News+2 Milei said the government will not regulate artificial intelligence, telling the U.S. Chamber of Commerce last month, "We are going to leave it free." Yahoo News+2 Argentina's lower house passed the Super RIGI bill 130-106 on 24 June, locking in a 15% corporate tax for AI and data-centre projects of at least $1 billion. IJR News The bill also sets a 7% dividend tax falling to 3.5% after four years, a 10% employer contribution on new jobs, zero export duties from day one, and benefits guaranteed for 30 years. IJR News Visitor logs show tech figures, including representatives of OpenAI, Amazon, Google and Oracle, meeting with Milei and his aides in recent months. Yahoo News+1

Around it

Green Capital has leased 130,000 hectares near Trelew for a $3 billion campus that is still without a customer. IJR News+1 An AP calculation puts the campus's projected peak draw at about 2.7 times Buenos Aires's 2025 electricity use. IJR News Patagonia's appeal rests on empty land, cool air, strong winds, and gas from the Vaca Muerta shale formation to cool and power the facilities. Yahoo News+1 Some communities in the United States and Europe are pushing back against data centres, while Argentina is making the opposite pitch. Yahoo News+2

What comes next

The tax incentive still needs Senate approval. Yahoo News+2

Sources

  1. IJR NewsMilei pitches Argentina as regulation-free AI hub
  2. Yahoo NewsArgentina courts AI data centres with no regulation and tax breaks
  3. EuronewsArgentina courts AI data centres with no regulation and tax breaks
  4. Superpower DailyMilei courts AI data centers with a no-regulation pledge and proposed tax cuts
  5. aawsat.comArgentina’s Milei Pitches a Regulation-Free AI Haven at the End of the World

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