
Arizona’s water is drying up. That’s not stopping the data center rush.
News Clipgrist.org·Phoenix, Maricopa County, AZ·3/4/2026
Arizona is experiencing water scarcity issues due to drought, but this has not stopped major tech companies like Microsoft, Meta, and Taiwan Semiconductor Manufacturing Company from building data centers and chip factories in the Phoenix area. While there were initial fears that these water-intensive facilities would further strain the region's limited water supplies, the companies have found ways to minimize their impact through new cooling technologies and water recycling.
waterelectricityannouncement
MicrosoftMeta
It’s no secret that Arizona is worried about its water. The Colorado River is drying up, in part due to climate change, and groundwater aquifers are running dry. Some of the state’s biggest industries are suffering as a result: Many farmers have been forced to rip up their cotton and alfalfa fields,