Georgia’s hidden industry: What is a data center, and why is rural Georgia suddenly on the map?

Georgia is experiencing a rapid proliferation of data centers, an industry dubbed "Georgia's hidden industry," driven by the immense computational demands of Artificial Intelligence. The state has become the second busiest market for data centers, particularly in the Atlanta area, due to a combination of factors including 2018 legislation offering significant tax breaks on computer systems and cooling infrastructure, abundant water supplies, a reliable electrical grid, and cheap land. However, this boom is raising significant concerns among residents and consumer advocates. Data centers consume massive amounts of electricity, with Georgia Power Co. recently allowed to add 10 gigawatts of power, sparking fears that residential customers will ultimately shoulder the construction costs. They also require substantial water for cooling, leading to concerns about water supply impacts, as exemplified by reported problems in Newton County, and potential conflicts with Georgia's vital agriculture industry. Another point of contention is the limited number of jobs created once data center construction is complete. In response to these issues and public opposition, there have been numerous legislative efforts to curb the incentives. In 2024, Gov. Brian Kemp vetoed House Bill 1192, which would have paused the tax credits. More recently, Senate Bill 410, sponsored by Newnan Republican Sen. Matt Brass, passed in March, aiming to phase out tax breaks for new data center developments ahead of their original expiration dates, mirroring legislative pushbacks seen in other states like Maryland and Oklahoma.