The U.S. leads the world in data centers — and nearly half of new ones are headed to the South. Here’s what to know.
The U.S. leads the world in data centers, with nearly half of all new constructions planned for the South, particularly in states like Virginia and Texas. Tennessee is experiencing a significant boom, with over a dozen data centers confirmed in the Nashville area, including Meta's large campus in Gallatin, prompting local news to investigate their environmental impact and resource demands. Controversies primarily revolve around increased electricity and water consumption, driving up energy prices and straining power grids, as well as concerns about air and noise pollution from construction and operations.
The United States leads the world in data center proliferation, with nearly 4,200 facilities already operational and an additional 1,500 in various stages of development. Analysts at Pew Research indicate that while most existing data centers are in urban areas, 67% of new planned facilities are slated for rural locations, with the South accounting for nearly half of these new constructions.
The region, including states like Virginia and Texas, anticipates a 62% increase in data centers. WSMV, a Nashville-based news outlet, is actively tracking these developments, confirming over a dozen facilities in the Nashville area, notably Meta's 1.7 million square foot campus in Gallatin with a 300-megawatt capacity, and a 20-megawatt RadiusDC facility. Other sites, including a 30MW facility at Fisk University and a 50MW project near the Nashville Zoo, are seeking approval.
Data centers, traditionally housing servers for internet traffic, have seen a significant boom due to the rise of artificial intelligence technologies, according to McKenna Beck, a Ralph Cavanagh Climate Solutions Fellow at the Natural Resources Defense Council (NRDC). These facilities require substantial power and water, leading to growing controversies. The U.S. Department of Energy found that data centers accounted for 4% of total U.S. energy consumption and projected a rise to 9% by 2030, a concern echoed by the U.S. Energy Information Administration.
Environmental concerns also include immense water usage—mid-sized facilities potentially using 300,000 gallons daily and larger ones up to 5 million gallons—and pollution from construction, natural gas turbines, and diesel-fueled backup generators. The NRDC's Jackson Morris notes that these are "not your father's or mother's data centers," highlighting their increasing environmental footprint and impact on communities, as exemplified by xAI's Colossus data center in Memphis, which implemented numerous natural gas turbines.