All the latest updates on AI data centers

A proposed $2 billion data center has become a political flashpoint in the small city of Shelbyville, Indiana. And the controversy has only grown more intense after the mayor, Scott Furgeson, was caught on camera saying of the “No Data Center” signs going up that, “I’ve seen a lot of these all over town, but I only see them in shitty houses,” before adding, “most of them are rentals.”

The woman speaking to him in the clip quickly pushes back, saying that they’re “working class,” and someone chimes in to add something that a mayor shouldn’t have to be told about their constituents: “it doesn’t matter whether they’re rentals, they’re still human beings.”

The New York State legislature passed a one-year moratorium on new large data centers, the first statewide ban of its kind if Democratic Governor Kathy Hochul signs it into law.

Lawmakers behind the bill say it’s meant to give policymakers time to understand the impact of large data centers on the environment and energy prices. It directs the state’s environmental agency to create an impact report assessing the amount of electricity, water, and land that data centers use, and the pollution they create. It also requires companies planning to build large data centers — defined as having a peak demand of at least 20 megawatts — to hold and fund a public hearing at least three months before it’s able to gain approval for the project. Hochul has not said whether she will sign the bill, and has until December to decide whether to sign or veto it, according to Bloomberg Government.

Kevin O’Leary agreed to halve the size of his planned 40,000-acre data center in Utah amid mounting pressure from residents and activists, as reported earlier by local affiliate ABC4. The Shark Tank star sent a letter to Utah Senate President J. Stuart Adams on Thursday, saying that he will remove 19,430 acres from the project, located in and around the Locomotive Springs Waterfowl Management Area.

The change comes just days after Adams called on O’Leary to slash the size of his Stratos Project data center by 75 percent, which would reduce it to about 10,000 acres. Adams also asked O’Leary to implement technology that minimizes water consumption, as well as to divert excess water to the Great Salt Lake, which continues to shrink.

In the face of widespread backlash to the AI data center buildout throughout the US, Google is touting its efforts to minimize the environmental impact by actually increasing water for local communities.

The company laid out five commitments around water use in a new blog post published Wednesday, including a goal to replenish more water than it uses at its data centers by 2030. Google also said it will invest in local water infrastructure, identify alternative water sources to power its facilities, and be transparent about its water use overall.

Earlier this month, SpaceX and Anthropic announced a new compute partnership that provides access to the rocket company’s Colossus data centers in Memphis, TN. Now, with the release of SpaceX’s IPO filing, we have more details about that deal, including how much Anthropic is paying to Elon Musk’s company.

In its S-1 filing, SpaceX said that Anthropic agreed to pay $1.25 billion per month through May 2029 for access to SpaceX’s AI training centers at Colossus I and Colossus II. That’s $15 billion annually, which could nearly double the $18.7 billion in revenue that SpaceX reported in all of 2025.

Utah may host one of the world’s most colossal data centers, despite stark warnings from experts and fierce public backlash. Earlier this month, commissioners in Box Elder County signed off on the Stratos Project: a 40,000-acre data center stretching across the county’s Hansel Valley. It’s supposed to establish American AI dominance, but potentially at the expense of environmental damage and a strain on already overtaxed water supplies.

The Stratos Project, backed by Shark Tank investor and venture capitalist Kevin O’Leary, is projected to be more than twice the size of Manhattan and consume 9GW of power — almost double the state’s peak electricity demand in 2025. Its first phase is projected to cost more than $4 billion, according to Utah Money Watch. O’Leary positions it as a way for the US to become an AI superpower and bolster national defense by serving the government and “tech firm contractors.” “It shows the Chinese and the rest of the world we are not messing around,” he said during a Fox News interview last month.

When Oregon resident Isabelle Reksopuro heard Google was gobbling up public land to fuel its data centers in her home state, she didn’t initially know what to believe. “There’s a lot of misinformation about data centers,” she said. “Google has denied taking that land.”

Technically, she explains, The Dalles, a city near the Washington state border, sought to reclaim that land, “and Google is just a big, unnamed power user.” The city had in fact asked for ownership of a 150-acre portion of Mount Hood National Forest, claiming it needs access to Mount Hood’s watershed to meet municipal needs as its population — 16,010 as of the 2020 census — grows. But critics, including environmentalists, say the city is trying to secure more water for Google, which has a sprawling data center campus in The Dalles that already consumes about one-third of the city’s water supply.

Over 70 percent of Americans oppose AI data center construction in their area, according to a new Gallup survey. Just 7 percent said they were “strongly” in favor of new data centers. According to Gallup, data centers are so strongly disliked that Americans would prefer to live near a nuclear power plant than a data center — even at its peak, opposition to nuclear power plant construction topped out at 63 percent.

Gallup’s data is based on a March 2026 survey of 1,000 randomly selected American adults in all 50 US states and the District of Columbia, along with an April 2026 survey of 2,054 adults “who are members of the Gallup Panel.” Among those in opposition, 50 percent said data centers’ impact on resources like water and electricity was their top concern. A Pew Research survey published earlier this month similarly reported that 43 percent of Americans view data centers as a “major reason” for skyrocketing power bills.

At its peak, the Androscoggin paper mill in Jay, Maine, a rural town about 67 miles northwest of Portland, employed about 1,500 people — until a pulp digester exploded in 2020, forcing the mill to close permanently.

In 2023, the 1.4 million-square-foot facility was purchased through a joint venture by JGT2 Redevelopment and a number of other holding and capital companies. The project is led by developer Tony McDonald. Over the next three years, McDonald and his team broke down the mill’s machinery and shipped it to Pakistan, and worked to clean up the industrial site for resale. That resale agreement was finalized earlier this year, according to McDonald — turning Jay into the latest flashpoint over giant data centers in America.

Iran’s Islamic Revolutionary Guard Corps (IRGC) has published a video threatening OpenAI’s planned Abu Dhabi data center if the US follows through on threats to attack the country’s power plants, as reported earlier by Tom’s Hardware. The video, which was published to an Iranian state-backed news outlet’s X account on April 3rd, says the IRGC will carry out the “complete and utter annihilation” of US-linked energy and technology companies in the region, before showing an image of OpenAI’s $30 billion in-progress Stargate facility in the United Arab Emirates.

OpenAI’s overarching $500 billion Stargate project includes investments from Oracle, Nvidia, Cisco, and SoftBank. It’s not clear how much of the Abu Dhabi data center is actually finished, as an October 2025 update showed the beginnings of the facilities that will contain 16 gigawatts of compute power. The update said construction was “well underway” and would meet its target of deploying 200 megawatts in 2026. OpenAI didn’t immediately respond to The Verge’s request for comment.

On Thursday, senators Elizabeth Warren (D-MA) and Josh Hawley (R-MO) sent a letter to the Energy Information Administration (EIA) asking it to collect “comprehensive, annual energy-use disclosures” on data centers and make that information publicly available, as first reported by Wired. They’re urging the agency to “establish a mandatory annual reporting requirement for data centers,” saying the data is “essential for accurate grid planning,” and ensuring the seven tech companies that signed the Ratepayer Protection Pledge earlier this month adhere to their commitments.

The EIA announced Wednesday that it’s launching a voluntary pilot program to evaluate data center energy use in Texas, Washington, Northern Virginia, and Washington, DC. What Warren and Hawley are calling for in their letter is broader, mandatory reporting on data center energy consumption.

After decades of only licensing its chip designs for others to use, UK-based Arm revealed the first chip it’s producing on its own, and the first customer. Dubbed the Arm AGI CPU, it’s another chip designed for inference, or running the cloud processing for AI tools like AI agents that can continue to spawn more and more tasks to run at once. The first company in line to use it is Meta, which has reportedly struggled to launch its own AI chips.

Meta says it’s both the lead partner and co-developer, and plans to work on “multiple generations” of the data center CPUs, for use along with hardware from other vendors like Nvidia and AMD. Arm customers like Amazon AWS, Microsoft, Google, Marvell, Nvidia, Samsung, and others included congratulatory notes with the announcement. However, Qualcomm, which said it had achieved “complete victory” over Arm with a court ruling last fall in their case over the terms of licensing agreements, was not one of them.