Amazon says it will stop using NDAs in data center deals with local governments
Amazon says it will stop using non-disclosure agreements when it negotiates data center deals with local governments. TechCrunch reports that the move follows a similar one from Microsoft earlier this year.
The backdrop is community backlash against AI infrastructure. According to TechCrunch, secrecy around these projects has fueled that opposition, which has led to hundreds of proposed and enacted moratoriums on AI infrastructure, from New York to San Francisco.
The source is the summary of an episode of TechCrunch's Equity podcast, in which hosts Anthony Ha, Sean O'Kane and Rebecca Bellan dig into whether ditching NDAs will change how data center deals get done.
The episode also covers a second topic: a wave of startups is betting that consumers will hand AI agents access to their inboxes, files and credit cards, if the startups can get websites to let them in. The hosts discuss why trust may be the real product for personal AI startups. The episode closes with a couple of deals of the week.
Key facts
- Amazon says it will stop using NDAs when negotiating data center deals with local governments.
- The move follows a similar one from Microsoft earlier this year.
- Secrecy has fueled community backlash against AI infrastructure, which has led to hundreds of proposed and enacted moratoriums from New York to San Francisco.
- The Equity podcast hosts discuss whether dropping NDAs will change how data center deals get done.
- The same episode looks at startups betting that consumers will give AI agents access to inboxes, files and credit cards, and why trust may be the real product.
Why it matters
Data center projects have run into organised opposition. TechCrunch ties that opposition to secrecy and counts hundreds of proposed and enacted moratoriums on AI infrastructure, from New York to San Francisco. Amazon dropping NDAs in talks with local governments, after Microsoft did something similar earlier this year, is an attempt to answer the secrecy complaint directly.
Who it affects
Local governments and the communities that negotiate with Amazon over data center sites are the most direct audience, since the change concerns how those deals are conducted. It also bears on companies building AI infrastructure, which face the moratoriums. The episode's second topic touches startups building personal AI agents and the consumers they hope will trust them with their inboxes, files and credit cards.
How to use it
There is no product or tool here to adopt. The source is a podcast episode, available through Equity on YouTube, Apple Podcasts, Overcast, Spotify and other podcast apps, and the show can be followed on X and Threads at @EquityPod. The practical thing to watch is whether future data center agreements are negotiated more openly.
How solid is it
The source is a short episode summary on TechCrunch, so the account is thin. The Amazon claim is reported as what the company says it will do. The source gives no date or timescale for when the change takes effect, does not describe the details of Microsoft's earlier move, and includes no quotes from Amazon, Microsoft or any official. The count of moratoriums is given only as "hundreds", with proposed and enacted combined.
Risks and caveats
Whether dropping NDAs will actually change how data center deals get done is the open question the hosts raise, and the summary does not give their conclusion. The source does not say which deals or which local governments are affected by Amazon's change. The "trust" framing is the hosts' discussion topic, not a measured result.