Yahoo Finance panel says data center backlash is overstated as local water and power concerns grow
Yahoo Finance guests argue that public backlash against data centers has been overstated, while acknowledging local concerns about water quality and rising utility bills. They say regulation and project decisions will largely be handled by state and municipal governments, with many projects expected to proceed through 2028 and beyond.
RSM Chief Economist Joe Brusuelas said two permitted data centers under construction near Austin, Texas, are likely to be completed despite recent backlash. He said residents are primarily concerned about protecting water supplies and preventing utility prices from rising sharply, and argued that the technology industry needs to engage with local communities rather than relying on federal officials.
The discussion also referenced Texas projects expected to continue through 2028 and 2029, as well as Intel's factory development next to Mike Mussio's family's property in Licking County, Ohio. Panelists said additional regulation is likely to emerge at the state and local levels as demand for computing capacity increases, while highlighting power infrastructure, copper, aluminum and mining companies as potential beneficiaries of continued data center construction.