Data Center Backlash: Industry Fights Public Opposition with Education

The rapid expansion of AI data centers has triggered significant public backlash, with concerns ranging from their substantial water and electricity consumption to their potential impact on jobs and society. A recent Gallup poll found that 71 percent of Americans oppose building AI data centers in their communities, with opposition spanning across political affiliations.

This public sentiment has led to tangible policy shifts. In Texas, Governor Greg Abbott has directed state regulators to pause permits for new data centers pending reviews of their impact on the power grid and water resources. Despite these hurdles, data center development continues, prompting companies to enlist public relations experts to navigate and mitigate community opposition.

Nicole Thomas, senior vice president of media and community engagement at JSA, a firm representing data center companies, acknowledges the shift. She notes that two years ago, data centers were not a contentious issue, likening them to simple infrastructure akin to building a warehouse. The industry was historically secretive due to cybersecurity concerns, and community engagement was minimal.

"About two years ago is when we started noticing the mainstream journalists coming around asking questions about data centers," Thomas said. "And that’s, to me, when it started."

The public's apprehension is amplified by the secretive nature of the industry and the pervasive concerns surrounding artificial intelligence itself. Thomas suggests that the backlash against data centers is partly a proxy for anxieties about AI, which many people feel they cannot control.

"You even have Sam Altman telling us that AI will destroy society," Thomas explained. "So you have this concern about AI and you don’t know how to control it, but you can push back on data centers. And so it becomes the physical manifestation of AI are these data centers that people are trying to get overturned or get to not be in their neighborhoods."

Thomas advocates for increased education to demystify data centers and their role in daily life. She emphasizes that data centers are essential for everyday digital functions, from mobile apps and password verifications to email and cloud storage. She pointed out that many communities may already host data centers without realizing it, as they are often nondescript buildings.

Thomas herself has experienced the importance of transparency firsthand. She recounted taking a data center in her own city of Indiana to task for inadequate community engagement. "I’m on the side of responsible development," she stated.

The industry aims to differentiate between data centers of various sizes and purposes, particularly when addressing fears tied to AI. Thomas noted that a 5-megawatt data center is unlikely to house AI operations, whereas a one-gigawatt facility might. She anticipates that AI will remain a contentious topic for the foreseeable future, and believes that ongoing education is key to fostering informed community decisions.

While some projects face outright rejection, leading developers to seek more welcoming communities, others have found success through direct engagement. Thomas mentioned that one-on-one meetings with community members can alleviate concerns once questions are answered. Conversely, some communities have implemented moratoriums on data center development.

However, other communities actively seek data center development, recognizing the economic benefits, such as increased tax revenue. Thomas projects that bridging the understanding gap will be a long-term effort. "I counsel my clients that we could still be here in three to five years, really trying to help the American public understand the benefit of data centers," she said. "But it’s going to take a lot of education across the industry, and once we get those seeds planted, I’m a firm believer that they grow into educated community members who make educated decisions to bring community-minded data centers to their community."