Local View: Minnesota cannot afford to miss the data-center economy
An opinion piece argues that Minnesota must actively compete for data center investments to ensure its future economic prosperity. It addresses common concerns about water and electricity usage by highlighting innovative technologies and advocates for responsible development with strong standards. The author warns that hesitation could lead data center projects to other states.
Rachel Johnson, president and CEO of APEX, the Area Partnership for Economic Expansion, published an opinion piece in the Duluth News Tribune advocating for Minnesota to aggressively pursue data center investments. She argues that sectors like AI and cloud computing depend on data centers and states are actively competing for the jobs, tax base, and innovation they bring. Johnson cites Christophe Beck, chairman, president, and CEO of St. Paul-based Ecolab, who warned that Minnesota risks a "playing not to lose" mindset and slow growth.
The article acknowledges legitimate concerns regarding data center water and electricity consumption but counters that fear should not override facts. Johnson highlights innovations from companies like Ecolab, including advanced water recycling, ultrapure-water systems, and direct-to-chip liquid cooling, which can dramatically reduce water usage. Ecolab's acquisitions of Ovivo's electronics business and a planned acquisition of CoolIT are presented as strategic moves toward more sustainable data centers. Johnson emphasizes that Minnesota can host data centers responsibly with strong standards, smart siting, clean power, water reuse, and community benefits, potentially setting a national model. She warns that if Minnesota hesitates due to fear, these projects will simply go to other states like Iowa, the Dakotas, Texas, Georgia, or Arizona, taking economic benefits with them.