As we approach the upcoming midterms, there has been much debate as to the pros and cons of data centers, physical facilities that have been in existence since the 1940s and accommodate computer systems and networks to power the internet, cloud computing, and, more recently, AI, for which they are a crucial factor requiring new and larger buildings to train and run models.
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The current discussion has emphasized the negative aspects of such facilities, while ignoring their benefits. Those railing against data centers have cited their need for large amounts of energy, which they claim can strain power grids and increase utility rates. These same sources note the vast amounts of water needed for cooling purposes, which they believe can diminish water supplies and threaten ecosystems and agriculture. Such parties also point to substantial increases in noise pollution and elevated air emissions. Opponents claim that after the initial period of construction, long-term job creation on a local basis is low when compared to the immense size of the facilities. The overall claim is that they lead to a decrease in the quality of life.
The preceding objections are largely unfounded and fail to recognize the benefits. While data centers do require significant quantities of electrical energy, many have agreed to pay for the incremental costs to the power grid. In addition, plans exist for data centers to provide their own power, which are backed by President Donald Trump and gaining traction in some states. Also, data centers can decrease community energy costs by distributing the expense of power grid infrastructure across a larger number of users. Some data center advocates argue that such facilities can benefit the power grid by providing steady baseload demand and taking part in demand-response programs to stabilize power during emergencies. Further, data centers can send surplus electricity back to the power grid. In fact, data centers can decrease average retail electricity rates.
Data centers do require significant quantities of water, but the water can be recirculated, greatly reducing the amount needed. In addition, water monitoring, planning, and cooling, as well as the use of reclaimed wastewater, can also be employed.
Noise can be reduced through acoustic barriers and louvers as well as landscaping, along with aerodynamic fan modifications, supplemented by specialized equipment enclosures and other noise-absorbing devices.
Presently, data centers in the U.S., which are predominantly powered by fossil fuels, emit significantly less in greenhouse gas emissions than the total greenhouse gas emissions from American agriculture. Any increase in greenhouse gas emissions will be offset in coming years by small modular nuclear reactors and other less environmentally impactful power sources.
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Along with short-term jobs during the building phase, what is often overlooked is that after completion, they produce a significant number of high-paying, permanent positions related to facility operations. I would go on to argue that data centers increase the quality of life by providing economic growth to communities that result in the development of ancillary businesses and related job creation.
Data centers generate significant local and state tax revenue for schools, recreational facilities, and infrastructure. Additionally, the construction of data centers provides vital computing capacity needed for the undertaking of routine digital operations.
Considering the many baseless claims as to the negative impact of data centers and the numerous benefits, the question has to be asked as to who would benefit from delays or cancellation of data center construction? Who would be most likely to organize and fund opposition to data centers? The answer is China. The U.S. and China are locked in a battle to win the race to AI supremacy. The winner of the AI race secures economic prosperity and national security. With the stakes so high, it is very likely, if not a certainty, that China is taking advantage of our open society to plan and finance, possibly through the loophole in U.S. law with respect to donations to U.S. tax-exempt, nonprofit 501(c)(4) “social welfare” organizations, opposition to the construction of data centers.
The involvement of China with respect to supporting the opposition to the erection of U.S. data centers should be investigated and stopped. Since China is moving without restrictions in the AI race, the U.S. must follow a similar path sans handcuffs in order to come out ahead.
The U.S. must win the AI race. It’s that important.
Perry V. Kalajian is an attorney, consultant, analyst, and national media personality.
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