In Focus Michigan: Dr. Erik Nordman discusses the growing debate sur­rounding hy­per­scale data centers

In Focus Michigan: Dr. Erik Nordman discusses the growing debate sur­rounding hy­per­scale data centers

News ClipSpectrum News·MI·5/17/2026

State leaders and experts in Michigan are discussing the surge in hyperscale data center development and its potential impacts. Concerns are being raised about the significant water and electricity demands of these facilities, especially those supporting AI technologies. Dr. Erik Nordman of Michigan State University explained the trade-offs between water usage and electricity demand in different cooling systems.

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Gov: Michigan State Government

State leaders and experts in Michigan are currently engaged in a debate over the increasing development of data centers within the Great Lakes State. With over six dozen facilities already established, there are mixed views on whether this surge represents an economic win or a cause for concern regarding the state's resources.

Representatives Jennifer Wortz and Joey Andrews are among the state leaders discussing how the escalating demand for data storage and AI infrastructure is altering Michigan's economic and physical landscape. Dr. Erik Nordman, director of the Institute of Public Utilities at Michigan State University, highlighted that hyperscale data centers, particularly those built for AI, demand substantially more water and electricity than traditional facilities.

Nordman further elaborated on the operational differences between closed-loop and open-loop cooling systems. While closed-loop systems are more efficient in reducing water consumption, they consequently lead to higher electricity demand. He also voiced apprehension about the long-term effects on utility costs, especially if the current AI boom eventually slows down, potentially leaving facilities vacant.