AI Data Centers (Long Post)

[VaughanJB]

Why am I writing, and posting, such a long diatribe?

Well, mostly for two reasons: 1) This subject isn't widely appreciated, and I think we all need to know what's going on; 2) As a brain exercise for an oldster like me.

I know some people hate hate hate posts longer than a few lines and sentences, and that's fine. This may not be for you. Please just move on. That said, it's good for us old folk to get informed. We ain't dead yet.



So, I wonder what peoples thoughts are on AI data centers.

Having worked in technology for most of my life, I am a great admirer of the engineering that goes into AI Data Centers. There's a lot of research and work that goes into making them work, and it truly is a testament to how much computing has developed over the years. We all know that AI is in the news almost every day, and that US companies are investing billions of dollars this year on developing solutions.

AI itself is causing much angst because it lends itself to automation, and automation means fewer actual humans are needed to perform tasks. So, jobs dry up. This affects everything from manufacturing to call centers. Call centers have, traditionally, been a job that beginners could get, or lower skilled workers could benefit from, but while they're not being wiped out, they are hiring much fewer people. AI automation is also reaching into complex tasks, such as surgery and legal. It's coming folks!

For clarity, what is an AI Data Center? Put simply, it's a big building, or set of buildings that contain a large collection of servers, which are glorified computers. We're talking a LOT of servers in one place. The largest among them today have 100,000 servers. These run 24/7.

So, we have innovation, and someone has got to work at these places right? Well, there's a dark side.

Firstly, we must realize that companies are receiving substantial subsidies to build these data centers. These come in the form of tax breaks, energy discounts, and support to build additional infrastructure. In other words, one might suppose the state might be getting income from this expansion, but there's a good chance they're not. Some states have even exempted sales tax on both hardware (the servers) and software.

Secondly, it turns out there is a real environmental cost that affects residents within the catchment of these AI Data Centers. Along with that, they are driving the cost of living up substantially, especially to those living in the same area. Here are the main issues for normal folk:

Noise. These data centers are not only noisy in terms of decibels, but they run 24/7. This means that if the noise affects you at all, it'll be a daily, weekly, monthly constant barrage of sounds. The Environmental and Energy Study Institute have written a reported, quote: "these sounds can be heard for hundreds of feet around the facilities. Data center neighbors have reported headaches, vertigo, nausea, sleep disturbances, ear pain, and hypertension. Hart adds that people who live near these data centers can hear the noise day and night as a ringing in the ears." In short, you wouldn't want to live near one, and if one has been built near you, you're likely going to be negatively affected.

Full report here: Communities Are Raising Noise Pollution Concerns About Data Centers | Article | EESI

Resource Consumption. It takes a lot of power to run thousands of computers 24/7. In fact, it takes so much power that they're beginning to strain local power grids. The net effect of this is that prices rise, and that's the price for everyone in the area, not just for the data centers. In Northern VA wholesale prices of electricity have increased more than 250% over five years, partly due to the AI boom. In some places local residents have seen $30 to $50 increases just because of the data center draw. That's money coming out of peoples pockets to accommodate a new business every single month, and it affects both the poor and rich.

The numbers are huge. In a single year there is a $9.5bn overall increase in electricity costs across just half US states. For example, Baltimore residents are paying around $20 a month more on their bills just because of power usage from these data centers. It is estimated that by 2030 these data centers will be consuming 10% or more of all generated power - and someone has to pay for that, and it isn't just the business.

But it's not just electricity, it's water. Water is a whole other topic, because frankly it seems clear that the next frontier of danger for folks around the world - and certainly in the US - is going to around the supply and use of fresh water. When it comes to data centers, they need water for cooling. These places generate a LOT of heat. How much water? A typical AI Data Center uses around 5 million gallons of water every single day.

How much water is that? Well, you'd imagine 5 million gallons a day would supply the needs for 25,000 people (this is an imprecise number with a low of 10,000 people and a high of 50,000). As with electricity, that's water that used to go to neighborhoods and farming. There is a huge strain on supply, and inevitably, it drives up costs to consumers. In Northern VA consumption of water due to data centers meant a 63% increase in demand. For just one such data center in Texas it is estimated that the cost to the data center of water supply is 11 times more than the actual cost of delivery - and someone has to pay. That's you folks sitting in your homes.

One final point - one might imagine that despite all this, it's a great boon to local employment. It's all about jobs, right? Well, no, not really. While all those servers are great in number, employment at the data centers is relatively low. A typical data center will provide between 25 to 100 permanent jobs. That's hardly going to solve a towns issues.

So, what do you think? Is this just the way progress is made? Should companies be enjoying corporate welfare to make it happen? Or is this something that needs to looked at more carefully?

Effect on Community:
'I can't drink the water' - life next to a US data centre
A humming annoyance or jobs boom? Life next to 199 data centres in Virginia
https://edition.cnn.com/2026/03/30/climate/data-centers-are-having-an-underrported

 

[MarciKS]

I actually enjoyed this post. Thank you. I too have read articles on this and I think it needs to be looked into and dealt with. Between those straining the power grid you also hafta factor in how much electricity is going into charging electric cars as well. I fear at some point the grid won't be able to sustain all this.

Here where I live Evergy wants to add another plant or expand the one we have and the city is saying no. We are already in drought conditions which means the data centers could cause issues that are catastrophic if there's enough of them.

I just think the world has gone too far with some of this stuff. They need to back off before they start wrecking everyone's health & livelihood.

 

[VaughanJB]

I actually enjoyed this post. Thank you. I too have read articles on this and I think it needs to be looked into and dealt with. Between those straining the power grid you also hafta factor in how much electricity is going into charging electric cars as well. I fear at some point the grid won't be able to sustain all this.

Here where I live Evergy wants to add another plant or expand the one we have and the city is saying no. We are already in drought conditions which means the data centers could cause issues that are catastrophic if there's enough of them.

I just think the world has gone too far with some of this stuff. They need to back off before they start wrecking everyone's health & livelihood.

Very kind, thank you.

You know, our capitalist systems are so ingrained that it can seem like heresy to question it. But the thing is, the system needs to serve the people, not only those trying to make cash. There is a reason there are national parks, and national regulations. These things weren't brought about to suppress people wanting to profit, they're important in their own right.

If the public purse is tapped into on the promise of jobs and tax revenue, then any agreements should have projections baked in. It's called accountability. If I borrow $1000 from you on the promise I'll repay $1200 in six months, it's not okay for me to show up, give you $500 and ignore the shortfall.

Too much money is made for no end result. For example, those companies investing billions right now won't be on the hook should it not work out. Early investors end up getting out before the great fall. Those coming later foot the bill, and when that bill is contaminated water, high energy costs, and noise - it's not good.

We're too short sighted as a populace. We quickly forget things and move on. Ask questions and you're branded anti-business. We really should do better, imo.

Think of this scenario. Family of three. The son works at the car factory building new vehicles. State legislators agree to tax breaks and subsidies for someone to build a huge AI data center in the town. The data center is built. The parents end up suffering from higher utility payments. The son is laid off because AI automation has replaced him. Where's the gain?

 

[MarciKS]

Exactly. They are only looking at it through their charts in their meetings. They aren't looking or caring about how this affects the people whose lives they are implanting all this into. For them it's just a greedy money grab.

I'm sure the people living by these things are probably suffering from mental health issues too because our bodies were not made to tolerate so much outside stress. I think that's part of why we are seeing so much more mental health issues and people with anxiety.

 

[Nathan]

So, what do you think? Is this just the way progress is made? Should companies be enjoying corporate welfare to make it happen? Or is this something that needs to looked at more carefully?

Effect on Community:
'I can't drink the water' - life next to a US data centre
A humming annoyance or jobs boom? Life next to 199 data centres in Virginia
https://edition.cnn.com/2026/03/30/climate/data-centers-are-having-an-underrported

I'm getting seriously tired of consumers footing the bill for costs that generate corporate profits, but give little or nothing back to the Public.

 

[Oldeagle66]

I have been following this industry lately, especially the impact on local communities and residents energy bills. I am also proud that my community is actually not allowing them to build here. I myself like $31 electric bills to stay. I am shocked reading that the UK and other parts of Europe with high utility problems are falling for it.

 

[MarciKS]

see and they want to put data centers and hydrogen something or other in the county i live in. they are gonna put us in the poor house if things keep getting more expensive but we're not being compensated enough to keep up.

 

[VaughanJB]

I'm getting seriously tired of consumers footing the bill for costs that increase corporate profits, and degrade the environment, and give little or nothing back to the Public.

The truth is, it's a scandal. People don't want to talk about it lest they be criticized for being anti-business. You can bet your life that none of the people making these decisions for us live anywhere near a data center of this type.

I also want to throw in a completely left field bit of thinking. In years to come, these concentrations of data centers are going to become targets for military attacks. It's an abstract thought, I know.

It also speaks to something I'm growing more concerned about - politicians work for us, the populace. Business only matters if it benefits us. We have no right to consign others to misery in order to make us happy. Stock prices are a short-term benefit of a potentially long-term disaster. This stuff MATTERS. We have spent too long being led by the nose by quick-profit efforts.

 

[Rich]

Why am I writing, and posting, such a long diatribe?
So, what do you think? Is this just the way progress is made? Should companies be enjoying corporate welfare to make it happen? Or is this something that needs to looked at more carefully?

Well, I read the whole thing. My thoughts...
I think you undersold the amount of electricity required. I've read articles that claim these data centers consume as much electricity as a small city.
Hopefully the can create a recirculating system for the water, or at the very least create a filtering station, clean it and send it back into the system.
Inevitably, the cost will, in some form, be passed onto the consumers. Ideally, the corporations building these centers should pay but somehow big corporations always find a way to pass the buck and maintain their high profit levels.
Sort of the same for the noise, if a gargantuan data center is coming to a location near you there's very little chance that your complaints about the noise will have much effect.
The employment piece reminded me of a quote I heard long ago... "The factory of the future will have two employees, a man and a dog. The man will be there to feed the dog, the dog will be there to keep the man from touching the equipment."
Finally, with the advantages that AI can bring to this world it just seems prudent to stay current or in the forefront of this technology. The expected abilities are far too good and possibly evil to leave this to the Chinese, Russians, and Indians.

 

[VaughanJB]

Well, I read the whole thing. My thoughts...
I think you undersold the amount of electricity required. I've read articles that claim these data centers consume as much electricity as a small city.
Hopefully the can create a recirculating system for the water, or at the very least create a filtering station, clean it and send it back into the system.
Inevitably, the cost will, in some form, be passed onto the consumers. Ideally, the corporations building these centers should pay but somehow big corporations always find a way to pass the buck and maintain their high profit levels.
Sort of the same for the noise, if a gargantuan data center is coming to a location near you there's very little chance that your complaints about the noise will have much effect.
The employment piece reminded me of a quote I heard long ago... "The factory of the future will have two employees, a man and a dog. The man will be there to feed the dog, the dog will be there to keep the man from touching the equipment."
Finally, with the advantages that AI can bring to this world it just seems prudent to stay current or in the forefront of this technology. The expected abilities are far too good and possibly evil to leave this to the Chinese, Russians, and Indians.

A good post. Love the man/dog analogy.

AI's impact is coming. It won't be stopped. It's a modern day industrial revolution. It is, as humanity, a large part of our future. It's main impact will come after all of us here are gone. We must somehow balance things. This really isn't about whether to AI or not. We will.

I just feel there is a resistance to hold people accountable. And by people, I mean business. That profit is the be-all and end-all. But it's not - profit must serve the populace, otherwise, what's the point?

 

[Rich]

It also speaks to something I'm growing more concerned about - politicians work for us, the populace. Business only matters if it benefits us. We have no right to consign others to misery in order to make us happy. Stock prices are a short-term benefit of a potentially long-term disaster. This stuff MATTERS. We have spent too long being led by the nose by quick-profit efforts.

I’ve heard our current predicament described as “late‑stage capitalism,” and I have to admit, the label has a certain ring to it. When you’re staring down a $39 trillion national debt, watching an administration steadily destroying relationships with long‑standing allies, and noticing that most of our manufacturing packed its bags for China years ago, it does make you wonder whether we’re still producing enough goods — or revenue — to keep the capitalists content. At this point, the only thing we seem to manufacture reliably is concern

 

[Rich]

A good post. Love the man/dog analogy.
AI's impact is coming. It won't be stopped. It's a modern day industrial revolution. It is, as humanity, a large part of our future. It's main impact will come after all of us here are gone. We must somehow balance things. This really isn't about whether to AI or not. We will.
I just feel there is a resistance to hold people accountable. And by people, I mean business. That profit is the be-all and end-all. But it's not - profit must serve the populace, otherwise, what's the point?

People are, for the most part, resistant to change from a technical perspective as well. However, per your note above, AI is a game changer.

 

[VaughanJB]

I’ve heard our current predicament described as “late‑stage capitalism,” and I have to admit, the label has a certain ring to it. When you’re staring down a $39 trillion national debt, watching an administration steadily destroying relationships with long‑standing allies, and noticing that most of our manufacturing packed its bags for China years ago, it does make you wonder whether we’re still producing enough goods — or revenue — to keep the capitalists content. At this point, the only thing we seem to manufacture reliably is concern

Don't bet me started.

Via online, the number of people that didn't know tariffs are paid by the consumer was mind-blowing.

Manufacturing isn't going back to the US. There is simply no way to make it happen. Not unless people are willing to start working for $5 a day. It'll simply move to the next cheapest economy. That means, parts of Asia other than China.

 

[RambleTamble]

Very kind, thank you.

You know, our capitalist systems are so ingrained that it can seem like heresy to question it. But the thing is, the system needs to serve the people, not only those trying to make cash. There is a reason there are national parks, and national regulations. These things weren't brought about to suppress people wanting to profit, they're important in their own right.

If the public purse is tapped into on the promise of jobs and tax revenue, then any agreements should have projections baked in. It's called accountability. If I borrow $1000 from you on the promise I'll repay $1200 in six months, it's not okay for me to show up, give you $500 and ignore the shortfall.

Too much money is made for no end result. For example, those companies investing billions right now won't be on the hook should it not work out. Early investors end up getting out before the great fall. Those coming later foot the bill, and when that bill is contaminated water, high energy costs, and noise - it's not good.

We're too short sighted as a populace. We quickly forget things and move on. Ask questions and you're branded anti-business. We really should do better, imo.

Think of this scenario. Family of three. The son works at the car factory building new vehicles. State legislators agree to tax breaks and subsidies for someone to build a huge AI data center in the town. The data center is built. The parents end up suffering from higher utility payments. The son is laid off because AI automation has replaced him. Where's the gain?

The "gain" is by the owners of the data centers. The rich get richer and the rest of us get screwed.

 

[Rich]

Don't bet me started.

Via online, the number of people that didn't know tariffs are paid by the consumer was mind-blowing.

Manufacturing isn't going back to the US. There is simply no way to make it happen. Not unless people are willing to start working for $5 a day. It'll simply move to the next cheapest economy. That means, parts of Asia other than China.

I remember back when everyone was singing the praises of globalism and insisting the U.S. had to “compete on a global stage.” Even then, I couldn’t help wondering how exactly we were supposed to compete with countries paying their workers five dollars a day. Turns out the answer was pretty simple: we won’t.