Technology

Local pushback grows against AI data centers despite rising consumer adoption

Community opposition over resource use challenges federal efforts to speed up construction of facilities powering artificial intelligence.

Updated Sep 2, 2026 · 21:18 UTC1 reports

The short version

Despite over half of Americans using AI chatbots, a May Gallup survey found 70% oppose constructing AI data centers in their local communities.
Bipartisan state leaders and local officials are responding to resident concerns about water, electricity, and landscape impacts by slowing or halting projects.
The Trump administration is attempting to accelerate development via federal permitting changes, framing data center expansion as an economic and national security priority.

A May Gallup poll indicated that 70 percent of Americans oppose building AI data centers in their communities, even as Morning Consult data showed more than half of Americans used an AI chatbot in July.[Business Insider]
President Donald Trump advocated for data center expansion on social media, warning that areas blocking development risk economic decline and emphasizing national security competition with China.[Business Insider]
Texas Governor Greg Abbott issued two data center directives and a temporary pause on development, while Pennsylvania Governor Josh Shapiro moved to require stricter transparency and local approval.[Business Insider]
In Hood County, Texas, local commissioners voted 3-2 to revoke a concept plan for the 862-acre Fort Spunky data center project.[Business Insider]
The Environmental Protection Agency proposed dropping federal public notice and comment rules for certain minor air pollution permits, which can cover data center backup generators.[Business Insider]

The long-term impact on local utility rates and infrastructure remains uncertain as the federal government attempts to require data centers to cover their own utility costs.[Business Insider]