THIS WEEK IN AI

Candice Bryant Consulting
Strategic Intelligence & Public Affairs

Each week I synthesize the key developments in AI and public policy so you don't have to. Here's what I'm watching:

• White House signals "Bring Your Own Power" model for data centers.

• Pentagon deadline to purge foreign AI from defense systems approaches.

• Bipartisan quantum legislation introduced in the Senate.

How to Read This Newsletter: This Week in AI applies the same principles of concise writing used to brief busy policymakers. Each entry contains a summary and analysis—if you already know what happened, jump straight to "What I'm Watching" for insights.

1. Bring Your Own Power Comes into Focus

Bring Your Own Power has emerged as industry shorthand, underscoring the expectation that companies building data centers should finance and supply their own power to avoid straining local grids. At CES, White House Office of Science and Technology Policy Director Michael Kratsios acknowledged this is the direction. "If you want to build a data center, you should … be building your own power to support that. You shouldn't be drawing from the larger grid and ultimately raising prices for Americans," he said. "That's something that we're pushing a lot of the folks in the big data center companies to work on, and something we're gonna be doing for a very long time ahead."

What I'm Watching:

In 2026, we're seeing a shift in how Washington talks about AI infrastructure. As data centers place real strain on local power grids, AI is increasingly being treated like heavy industry—similar to steel or auto manufacturing a century ago. As with factories then, data centers now face expectations to supply their own power or actively manage their impact on shared infrastructure.

The message is clear: Data center growth should be partnership-first. AI expansion cannot compete with household energy needs or raise consumer prices. Developers must add to capacity rather than draw it down.

2. Pentagon Covered AI Purge Deadline Approaches

The Pentagon must purge covered AI—defined as AI systems domiciled in or subject to foreign control by China, Russia, Iran, or North Korea, including DeepSeek and HighFlyer—from defense systems by January 17. Section 1532 of the FY26 National Defense Authorization Act, signed December 18, mandated removal within 30 days. The ban extends to contractors performing work for DoD, with limited waivers on a case-by-case basis.

What I'm Watching:

We're entering the age of sovereign AI. AI used in national security contexts must be fully traceable, domestically controlled, and free from foreign influence. Section 1532's 30-day deadline shows the government won't wait for industry to catch up. Combined with Defense Secretary Pete Hegseth's acquisition reform, the message is clear: it's not sovereignty or speed, it's both.

3. Bipartisan Quantum Legislation Introduced

Senators Maria Cantwell (D-WA) and Todd Young (R-IN) introduced the National Quantum Initiative Reauthorization Act of 2026 (S. 3597), which would extend the federal quantum strategy through 2034. This is the third attempt at reauthorization since the original 2018 NQI Act expired in September 2023. A House bill that same year passed committee unanimously but subsequently stalled, and a 2024 Senate attempt failed to advance out of committee.

What I'm Watching:

This is the third attempt at reauthorization, but the climate has fundamentally changed. Earlier efforts stalled for lack of urgency; today, the convergence of AI and quantum narratives has made the debate more legible. Both are now widely understood as dual-use technologies with implications for national security and global competitiveness. As the "harvest now, decrypt later" threat moves from theoretical to present-day, the timeline for quantum readiness has compressed, bringing S. 3597 into view as a strategic necessity.

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THIS WEEK IN AI