_WHAT’S HAPPENING_
Artificial intelligence data centers are cropping up all over rural America amid the escalating AI arms race between the US and China.
These massive facilities, which train and run AI models like ChatGPT and Grok, consume extraordinary amounts of electricity — some requiring as much power as entire cities. But the rapid expansion has triggered a backlash on multiple fronts: Maine became the first state to pass a moratorium on large data center approvals, and opposition groups are mobilizing across two dozen states.
Many of these facilities are being built in rural areas, where residents are raising concerns about rising energy bills and environmental impacts.
Follow the full story: AI data centers: claims vs. facts
_THE FACTS_
US data centers are projected to consume more electricity than all of the country's heavy industries combined by 2030.
In some areas near data centers, wholesale electricity cost as much as 267 percent more for a single month than it did five years earlier, according to a Bloomberg News analysis — costs that get passed on to customers through their power bills.
OpenAI has announced plans for facilities requiring more than 30 gigawatts of power in total — more than the largest recorded demand for all of New England.
Elon Musk's xAI facility in Memphis, called Colossus, uses as much electricity as 200,000 American homes would in a year when running at full strength.
xAI installed up to 35 natural gas turbines at Colossus and used more than 11 million gallons of water in September alone.
Shark Tank investor Kevin O’Leary just received approval to build a 40,000-acre data center in rural Utah — more than 2.5 times the size of Manhattan — sparking protests from locals.
After Mark Zuckerberg’s Meta broke ground on a Georgia data center in 2025, residents reported sediment buildup in their water and low water pressure.
Maine's legislature passed the nation's first moratorium on data centers requiring more than 20 megawatts of power.
At least 11 other states are considering similar restrictions on data center expansion.
_OUR TAKE_
The US faces a hard choice: either build the power-generation capacity to support advanced AI training and deployment, or cede leadership to a country like China that's willing to do so. With that said, it is a significant issue when Americans face skyrocketing energy bills or unsafe drinking water just because a data center moves into their community. This may warrant federal action, such as financial compensation or, in extreme circumstances, legal action.
But these concerns alone may not be worth slowing AI’s growth, as its potential economic benefits are boundless: healthcare and agricultural innovation, more productive technologies, improved national security, and beyond.
To remain the world’s leader, the US will be forced to balance the creation of more “dystopian” data centers, as The Atlantic phrased it, with the lives of Americans, who have the right to live without being interrupted by Elon Musk’s or Mark Zuckerberg’s grand designs.
Correction, Nov. 1, 2026: An earlier version of this article misstated a Bloomberg News finding about wholesale electricity prices near data centers as an average increase in household power bills.














