U.S. Data Center Projects Worth $68 Billion Disrupted By Community Opposition

Opposition to data centers continues to grow in the United States, with 45 projects worth about $68 billion blocked or delayed by local opposition between April and June, according to research from Data Center Watch, Bloomberg News reported.

Data centers are facing growing opposition from communities concerned about electricity, water use and the environmental impact of rapid AI infrastructure expansion. [Photo: ParkerHiggins (Electronic Frontier Foundation) NSA]

Communities across the country have pushed for moratoriums on new data center construction, in some cases before developers can submit applications for approval.

Data Center Watch said 30 state legislatures had introduced or adopted measures addressing issues including data center siting, electricity and water use.

The research reflects growing concern over the rapid expansion of artificial-intelligence infrastructure and the construction of large computing facilities.

Data Center Watch said there were 843 opposition groups in 49 states.

The number and value of projects facing opposition have varied from quarter to quarter.

During the first three months of 2026, 75 cases involving projects worth about $130 billion faced opposition, compared with 45 projects worth $68 billion during the second quarter, according to the group.

“New groups continue to emerge, opposition is appearing across a wide range of states and jurisdictions, and online petition signatures continue to grow,” lead analyst Miquel Vila said, according to Bloomberg.

Data Center Watch is a project of AI intelligence company 10a Labs.

The debate has focused on the electricity and water requirements of data centers, as well as the broader implications of rapid AI development.

Major technology companies including Amazon, Meta, Microsoft and Alphabet are investing heavily in data center infrastructure as they compete to expand AI capabilities.

Bloomberg has separately reported that the U.S. AI infrastructure buildout is creating substantial demand for electricity and data center capacity.