All articles tagged with #data centers
Bipartisan opposition to hyperscale data centers—driven by concerns about electricity costs, water use, pollution, and landscape changes—has surged from Maine to the Pacific Northwest, turning data-center policy into a potential midterm litmus test as communities weigh local costs against AI growth and campaigns pour money into the issue.
An opinion piece cautions that AI’s hype risks a bubble while highlighting real downsides: energy- and water-intensive data centers, potential environmental damage, and expanding surveillance—from Utah’s giant data center and New Jersey bans to Memphis water use for xAI and China’s AI-enabled policing—calling for skepticism of tech moguls and stronger governance to address environmental justice and civil liberties as AI expands.
A new IDCA report finds data centers now use about 6% of US electricity (67.7 GW globally, 29.2 GW in the US), fueling regulatory pushback, water-use concerns, and debate over the AI boom as smaller centers and ‘zombie’ workloads push demand and policymakers call for transparency.
A University of Tokyo team has demonstrated a non-volatile quantum switching chip element that stores bits via magnetism, potentially enabling 1,000 times faster processing with far less heat. In lab tests, it handled a single bit in 40 picoseconds (about 1/1,000th of current speeds) and remained stable through 100 billion cycles. If scalable, this could lower energy use in devices and data centers, but commercialization isn’t expected until around 2030 and is still at the prototype stage.
AI backlash is mounting—with protests, worker strikes, and local resistance to data centers that could slow adoption and raise electricity costs—yet investors are still pouring money into AI companies. SpaceX warns that regulatory or societal restrictions could hinder deploying AI tech, while Morgan Stanley flags job losses and higher power bills as political headwinds and Jefferies notes data-center pushback. Samsung's labor dispute over AI profits shows how worker demands may spill into markets. In short, public resistance could slow long-term adoption and tighten regulation, but for now the AI money machine keeps churning.
A Gallup poll shows Americans broadly oppose the rapid spread of AI data centers, with women expressing stronger opposition than men (55% of women strongly oppose versus 43% of men). Concerns cited include environmental impacts (water use, pollution) and higher utility bills, especially in low-income communities of color. Across the U.S., women—mothers and activists—are spearheading opposition efforts, influencing local campaigns and drawing bipartisan political attention to the issue.
The Electric reports that rising AI data-center workloads are creating a new revenue stream for Western battery makers by deploying backup power systems for AI facilities, potentially triggering a broader battery boom even as consumer EV demand remains tepid.
The Verge reports that SpaceX’s IPO filing reveals Anthropic will pay about $1.25 billion per month through May 2029 for access to SpaceX’s Colossus I and II AI training centers, about $15 billion annually and potentially double SpaceX’s 2025 revenue. The deal includes a 90-day termination clause and reduced fees during ramp-up, underscoring the AI compute crunch and SpaceX’s heavy investment in AI, with Musk signaling similar compute deals could be offered to others.
NextEra Energy’s proposed $67 billion merger with Dominion Energy would create a utility giant to speed AI-era infrastructure and, proponents say, lower bills via a two-year $2.25 billion payout that could shave about $25/month through 2028. Regulators at FERC, NRC, and state commissions in North and South Carolina and Virginia must approve, and Virginia’s political leadership—already wary of rate increases—will closely scrutinize long-term affordability and potential settlements to win clearance.
Rep. Nancy Mace calls for a one-year statewide moratorium on new data-center construction in South Carolina, arguing AI hubs are driving higher electricity bills and energy demand; she also wants data centers to pay their own way to avoid ratepayer costs, reflecting bipartisan concern over infrastructure.
Blackstone and Google are forming a US-based joint venture to offer TPU-based compute-as-a-service, starting with a $5 billion equity commitment to deploy 500 MW of capacity by 2027 and scale up over time, with Google providing TPUs and tech and Blackstone handling data-center infrastructure and energy.
NextEra Energy will acquire Dominion Energy in an all-stock deal valued at about $67 billion, creating the world’s largest regulated electric utility. NextEra will own 74.5% of the combined company and Dominion 25.5%, with an enterprise value of roughly $303 billion for NextEra and about $111 billion for Dominion. The merger expands NextEra’s footprint into Virginia, the Carolinas, and Florida, boosts its data-center power strategy, and targets about $59 billion in annual capex from 2027–2032 alongside a 130 GW large-load pipeline. The combined firm will trade as NEE on the NYSE, with dual headquarters in Juno Beach, Florida and Richmond, Virginia.
Sen. Adam Schiff introduced the Energy Cost Fairness and Reliability Act, which would require data centers over 50 MW to secure their own power, pay for the grid upgrades they necessitate, and not siphon electricity from existing plants, while directing FERC to update transmission rules to allow demand reductions during peak hours—a move framed as helping curb rising electricity costs amid AI power demand, though the bill currently has no Republican co-sponsors.
Data centers aren’t inherently good or bad for towns: the costs and benefits depend on local energy sources, grid reliability, and policy choices. Hyperscale campuses can raise air pollution and electricity bills in some places, but can also boost job creation and tax revenue, especially where grids are clean and policy is favorable. Brookings finds modest employment gains and longer‑term IT jobs in counties that host centers, while places like Loudoun County show substantial tax revenue. Water use is relatively small with closed‑loop cooling, and smart siting/regulation can tilt outcomes toward net community gains.
QTS is advancing two expansions at its Henrico hub (RIC4 and RIC5), adding 1,100 acres and nearly 8 million sq ft across 17 data centers, and seeking permits for about 370 more emergency generators; timelines for construction are not disclosed.