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Study: Data Center Backlash Blocked $130B in US Projects During Q1 2026
Researchers said communities have internalized an opposition playbook as grassroots groups and new state bills slowed projects nationwide.
Data Center Watch, a project of 10a Labs, reported that opponents blocked or delayed at least 75 projects nationwide worth about $130 billion from January through March, marking the most in any three-month period since tracking began in 2023.
Active grassroots opposition groups more than doubled from 396 at the end of 2025 to 833 by March, as communities internalized an effective opposition playbook amid formal regulatory uncertainty introduced by legislative sessions.
A Gallup poll found 70 percent of Americans oppose local data-center construction, while lawmakers introduced more than 300 bills in state legislatures during the first six weeks of 2026, fueling legislative momentum nationwide.
New York state lawmakers approved a moratorium on large data-center construction, establishing a three-month waiting period before the Department of Environmental Conservation will issue permits, certificates, registrations, or licenses.
Sociologist Tressie McMillan Cottom noted that data-center resistance is crossing political divides, as regulatory uncertainty could extend developers' timelines well into 2028, fundamentally reshaping the industry's deployment strategy.
With the rapid growth of AI, the water and electricity consumption of data centers has become a concern. They use vast amounts of water to keep them cool, leading to water shortages in many locations. This has also led to protests around the world.