Data centres are becoming an increasingly controversial part of the global artificial intelligence boom. Once largely invisible to the public, these enormous facilities are now attracting growing opposition over their electricity consumption, water use, noise and environmental impact.
The buildings house the computer chips and servers that power much of modern digital life, from internet searches and online banking to streaming services and AI chatbots such as ChatGPT and Claude.
But as technology companies race to expand their AI capabilities, the demand for larger and more powerful data centres is creating tensions with local communities, environmental campaigners and policymakers.
In the United States, the issue has become a major political flashpoint ahead of the midterm elections scheduled for 3 November. Republicans and Democrats have both voiced opposition to some proposed developments, putting them at odds with President Donald Trump, who has dismissed resistance to data centre expansion as a “sick conspiracy”.
The growing debate raises a central question: how can countries benefit from the AI revolution without placing excessive pressure on local communities and natural resources?
Data centres are spreading rapidly around the world
Until recently, many people were unfamiliar with data centres, despite their essential role in supporting the internet and digital services.
That is changing as their numbers increase and new developments extend beyond established technology hubs into rural communities.
According to Data Center Map, which tracks operational and pre-operational facilities, there are approximately 12,250 data centres worldwide. That compares with around 8,000 operational sites in 2021.
The United States has the largest concentration, with 4,767 facilities. Europe is another major centre, led by the United Kingdom and Germany.
Data centres have traditionally been built near cities, where access to high-voltage electricity networks and water supplies can be easier. However, the growing size of these facilities is encouraging developers to look for larger plots of land outside urban areas.
The United States also leads by a substantial margin in installed capacity, with China in second place and Europe trailing behind.
The figures cited in the BBC report put US capacity at 53.73 gigawatts, compared with 31.90GW in China. The European Union has 11.92GW, while the rest of the world accounts for 11.89GW. Japan and South Korea together have 6.58GW, India has 3.55GW and the UK has 2.59GW.
This disparity has raised concerns that Europe could miss out on some of the economic opportunities associated with the AI boom if it cannot expand its infrastructure quickly enough.
The new facilities are becoming enormous
Data centres range from small installations that can fit inside a garden shed to industrial-scale complexes covering huge areas of land.
One of the world’s largest operational facilities is reportedly run by China Telecom in Hohhot, Inner Mongolia. The site covers approximately one million square metres, or 10.7 million square feet—equivalent to around 140 FIFA football pitches.
Yet some projects under construction or in development are planned on an even more extraordinary scale.
SpaceXAI’s planned Colossus complex is listed in the report at approximately 70,000 square metres, while the OpenAI-backed Stargate project in Texas is described as covering 3.5 square kilometres. Meta’s proposed Hyperion complex in Louisiana is expected to span around 11 square kilometres, an area comparable to London’s Heathrow Airport.
These developments are being designed to supply the immense computing capacity required for advanced AI systems.
Colossus 2 raises questions about local air pollution
Colossus 2, part of the wider Colossus campus associated with Elon Musk’s xAI, is expected to house hundreds of thousands of advanced chips manufactured by Nvidia. The facility will also support the training of Grok, xAI’s chatbot.
To help power the site, the company plans to use 41 methane gas turbines.
Environmental campaigners have warned that the turbines could significantly worsen local air pollution. Local regulators, however, say the equipment will meet applicable air-quality standards.
The development has also attracted attention because of the scale of land clearing involved. Satellite images cited in the report show substantial woodland in Tennessee replaced by a large industrial complex between 2020 and 2026.
The project illustrates the competing pressures surrounding AI infrastructure: technology companies need space and reliable power, while nearby residents and environmental advocates are concerned about the consequences for their communities.
Electricity demand is becoming a major concern
One of the strongest sources of opposition is the amount of electricity required to operate data centres.
The BBC report says data centres worldwide are believed to consume more electricity than the whole of France.
As facilities become larger and AI workloads increase, their demand for power is placing additional pressure on electricity grids. Some analysts and campaigners warn that this could contribute to higher energy costs for households and businesses.
The environmental consequences are another concern. Where additional electricity comes from fossil fuels, growing demand can increase carbon emissions.
Water consumption is also an issue. Many data centres require substantial amounts of water for cooling, and experts have warned that facilities built in areas with limited water resources could intensify shortages.
For communities already dealing with strained power networks, water scarcity or environmental pressures, the arrival of a major data centre can therefore become a contentious issue.
Noise and the amount of land occupied by these developments have added to public frustration.
Opposition is spreading beyond the United States
Resistance to new data centres is becoming more organised, particularly in the United States.
According to the report, 16 US states have proposed legislation to ban or temporarily block new facilities. The issue is also emerging as a potential factor in the November midterm elections.
The political response cuts across party lines, with members of both major parties expressing concerns about the expansion of data centre infrastructure.
Trump has criticised opposition to development, creating a clash between his administration’s support for technological expansion and communities seeking greater restrictions or oversight.
Similar resistance has emerged in other countries, including Mexico, France, Indonesia and the UK.
As more projects are proposed, local debates are increasingly focusing on who benefits from the investment, who bears the environmental costs and whether communities have sufficient influence over developments in their areas.
Supporters say data centres bring jobs and investment
Despite the growing opposition, supporters argue that data centres are essential to national security, technological competitiveness and the continued development of artificial intelligence.
They also point to potential economic benefits, including construction jobs, investment and tax revenue for local authorities.
A report from the Brookings Center cited by the BBC suggests that data centres do create jobs in the communities where they operate, although the benefits may be smaller than industry advocates claim.
The findings also suggest that the type of facility matters.
Hyperscale data centres—large facilities owned and operated by technology giants such as Amazon and Microsoft—were found to have a greater positive effect on local employment.
By contrast, colocation facilities, which rent computing space to customers that may have no local presence, were associated with fewer benefits.
The distinction is important for communities weighing whether to approve new developments. While a project may involve substantial investment and construction activity, its long-term contribution to local employment can vary.
Billions are still flowing into AI infrastructure
The debate over the costs and benefits of data centres has not slowed the industry’s expansion.
The BBC report estimates that technology companies will spend a combined $765 billion on AI infrastructure in 2026, with spending expected to exceed $1 trillion next year.
That investment reflects the industry’s belief that demand for AI services will continue to grow and that access to computing power will be a critical competitive advantage.
However, the environmental concerns are prompting some technology companies and researchers to consider alternative approaches.
One proposal involves placing data centres in space or on the Moon, where they could potentially take advantage of abundant solar energy. Such ideas remain alternatives under consideration rather than an established replacement for conventional facilities.
Another possibility is that more AI processing could eventually take place directly on computers and smartphones, reducing the need to send every task to a massive remote data centre.
The extent to which these alternatives could reduce infrastructure demand remains uncertain.
Can the AI boom grow without overwhelming communities?
Data centres have become indispensable to the digital economy, and their importance is increasing as artificial intelligence develops.
Yet their expansion is exposing a growing conflict between the benefits of technological progress and the practical costs of supporting it. Electricity demand, water consumption, pollution, noise and land use are turning once-obscure industrial facilities into major public issues.
For technology companies, the challenge is not simply to build enough computing capacity. They must also address concerns about how that capacity is powered, where facilities are located and what local communities receive in return.
Governments face a similar balancing act: supporting innovation and economic investment while protecting residents, infrastructure and the environment.
As spending on AI continues to rise, the future of data centres may depend as much on public trust and resource management as on advances in computing technology.
