Gordon Op-ed: The Hudson Valley thrives when New York competes

On August 8, 2026 the Halston Media newspapers published SPC Director of Public Policy & External Affairs John R. Gordon's commentary on the one-year moratorium on new data center permitting recently put into place by Governor Hochul's executive order. It examines the potential impact of the state's present data center policy on the Hudson Valley. The original publication of this article can be found here.

Gov. Hochul's Executive Order 62 — which pauses new discretionary permitting for large data center projects for one year while New York develops a statewide regulatory framework — has generated considerable debate about the future of artificial intelligence infrastructure.

Much of that discussion has focused on central and western New York, where large data centers are most likely to be built. For residents of the mid- and lower-Hudson Valley, the more important issue is what the order says about New York as a place to invest and how the order might affect the regional economy, even if no major data centers are ever built here.

For generations, the Hudson Valley has been one of New York's centers of innovation. IBM's global headquarters in Armonk and the Thomas J. Watson Research Center in Yorktown Heights helped establish that reputation decades ago. Today, companies including Regeneron and Mastercard, together with leading universities, healthcare institutions, and research organizations, continue to support a highly skilled workforce and a regional economy built on research, technology and innovation.

The mid- and lower-Hudson Valley region has long sought to balance economic opportunity with environmental stewardship, thoughtful planning, and the quality of life that attracts families and businesses alike. It is unlikely to become the next data center hub, nor do many of its communities aspire to be. But the region should also consider how the order could affect the broader technology ecosystem that has helped sustain the Hudson Valley's own innovation economy.

Large data centers are only one part of a much broader technology ecosystem. Every major project creates demand across a value chain that includes engineering, electrical construction, software development, cybersecurity, financial services, legal services, consulting, research partnerships and other professional services. Many of those businesses are already based in the Hudson Valley, serving clients throughout New York and beyond.

When advanced technology projects move forward elsewhere in the state, the economic benefits often extend back to the Hudson Valley. Conversely, when those projects are delayed or redirected to other states, the economic opportunities they create can leave the Hudson Valley as well.

Every major company evaluates where to make its next investment, whether in research facilities, manufacturing capacity, office expansion or the computing infrastructure that supports those operations. One of the most important considerations in those decisions is regulatory certainty, meaning that companies understand the rules, the permitting process and the timeline for decisions. Businesses can adapt to rigorous standards and even higher costs when they are predictable. What is far more difficult is planning around uncertainty. The regulatory uncertainty created by this executive order has the potential to ripple throughout that value chain while influencing broader perceptions of New York's business climate.

Whether one supports or opposes Executive Order 62’s underlying purpose, it inevitably becomes part of the broader picture companies consider when evaluating New York's long-term business climate. Gov. Hochul has consistently emphasized responsible development, and establishing a clear statewide framework for data center development is an appropriate objective. However, a one-year pause on new permitting is unnecessary. Developing that framework while new data center proposals continue to move through the permitting process would reduce the risk that the engineering work, construction activity, professional services, jobs, and other long-term economic opportunities those projects generate for the Hudson Valley are redirected to other states.

The Hudson Valley's innovation economy was not built by chance. It was built because companies, universities, and research institutions chose to invest here over generations. Executive Order 62 extends beyond data center permitting. It affects the regional businesses that participate in New York's broader innovation economy and sends a consequential signal about the state's investment climate at a time when companies are deciding where to build the next generation of technology infrastructure. The Hudson Valley's long-term economic success depends on sustaining and growing investment in New York's technology and innovation economy—an economy in which Hudson Valley businesses, universities, and research institutions have long played a leading role.

John R. Gordon is Director of Public Policy & External Affairs for the Strategic Power Coalition. He has more than 20 years of experience in energy, infrastructure, and economic development policy, having advanced initiatives in New York, New England, and across the United States. He also serves as a volunteer firefighter in Westchester County.