Claims of Chinese influence in US data center opposition
Tech millionaires and some government officials are promoting a theory that China is funding local opposition to US data center projects, despite a lack of direct evidence. This includes Canadian investor Kevin O'Leary, who accused two Utah-based groups of acting on behalf of the Chinese government against his Stratos data center project in Box Elder County, which they deny. While OpenAI did ban some Chinese accounts for generating anti-data center content, it noted their limited impact, and independent researchers have found little evidence of a coordinated Chinese campaign.
A theory alleging Chinese-funded campaigns are behind local opposition to US data centers is gaining traction among tech millionaires and some government figures, despite limited evidence. Interior Secretary Doug Burgum expressed concern over "foreign-sourced dark money" influencing local anti-data center sentiment.
Kevin O'Leary, a Canadian investor with a stake in the Stratos data center in Box Elder County, Utah, is a prominent advocate of this theory. After local opposition to his large-scale project emerged, O'Leary claimed that two Utah groups, Alliance for a Better Utah and Elevate Strategies, were operating on behalf of the Chinese government. Both organizations vehemently deny these accusations, stating they are not Chinese-funded cells. Alliance for a Better Utah has also filed a lawsuit on behalf of Box Elder County residents, citing inadequate consultation regarding the project.
While OpenAI reported banning a cluster of likely Chinese accounts that generated anti-data center content, highlighting energy demand and electricity costs, the company noted the campaign's limited impact. Independent researchers, including Darren Linvill from Clemson University's Media Forensics Hub, have found little evidence of a coordinated, effective Chinese campaign to stop data center development in the U.S., suggesting that local opposition is largely organic. Despite the thin evidence, Congressman Brett Guthrie, chairman of the House Committee on Energy and Commerce, has requested a briefing from the FBI on potential Chinese influence in the data center debate.
Following public and political pressure, including concerns raised by the president of the Utah Senate, Kevin O'Leary agreed to scale back the Stratos data center project to a quarter of its original size, after a local planning council had initially approved it.