Amazon announced it will no longer use nondisclosure agreements in data center negotiations with local governments, following Microsoft's similar move earlier this year. The decision comes amid growing community backlash against AI infrastructure, with opposition leading to hundreds of proposed and enacted moratoriums from New York to San Francisco.
Secrecy around data center deals has fueled public concern, prompting companies to reconsider their approaches to transparency. Amazon's move is part of a broader trend, with startups exploring ways to gain consumer trust by offering AI agents access to personal data such as inboxes, files, and credit cards.
"Amazon says it no longer uses NDAs when negotiating data center deals with local governments," said Anthony Ha, host of TechCrunch’s Equity podcast. The company emphasized that the change is aimed at fostering greater transparency and trust in its operations.
The announcement follows a wave of startups betting on consumer adoption of AI agents, which rely on access to personal data. However, the source notes that trust remains a critical challenge for these companies, with many still struggling to gain user confidence.
Amazon did not specify how it will handle sensitive information during negotiations, and the source raises questions about the long-term impact of this shift on data privacy and public trust. The company said it will continue to engage with local governments while ensuring transparency in its operations.
Source: techcrunch
