Technology

Data centres become US midterm election issue

Sixteen states propose bans as facilities drain grids and water, Trump calls the pushback a sick conspiracy

Images

Three globe maps show the density of data centres worldwide, with darker purple indicating higher concentrations. The United States has the largest number of data centres, with Virginia highlighted as the area with the highest density globally. Europe shows a broad cluster stretching across western and northern Europe. In Asia, major concentrations are marked around Tokyo, Shanghai, Hong Kong, Singapore and Jakarta, with smaller clusters visible elsewhere around the world. Three globe maps show the density of data centres worldwide, with darker purple indicating higher concentrations. The United States has the largest number of data centres, with Virginia highlighted as the area with the highest density globally. Europe shows a broad cluster stretching across western and northern Europe. In Asia, major concentrations are marked around Tokyo, Shanghai, Hong Kong, Singapore and Jakarta, with smaller clusters visible elsewhere around the world. bbc.co.uk
Treemap showing installed data centre capacity by region, measured in gigawatts (GW). The US has the largest capacity at 53.73GW, followed by China at 31.90GW. The EU has 11.92GW, the rest of the world 11.89GW, Japan and South Korea 6.58GW, India 3.55GW and the UK 2.59GW. The size of each block is proportional to its installed capacity, highlighting the dominance of the US and China. Treemap showing installed data centre capacity by region, measured in gigawatts (GW). The US has the largest capacity at 53.73GW, followed by China at 31.90GW. The EU has 11.92GW, the rest of the world 11.89GW, Japan and South Korea 6.58GW, India 3.55GW and the UK 2.59GW. The size of each block is proportional to its installed capacity, highlighting the dominance of the US and China. bbc.co.uk
Graphic comparing the scale of major AI data centres. SpaceXAI’s planned Colossus complex (70,000 sq m) is shown as roughly twice the size of the Houses of Parliament. OpenAI-backed Stargate in Texas (3.5 sq km) is compared with New York's Central Park. Meta's proposed Hyperion complex in Louisiana (11 sq km) is shown as roughly the size of London Heathrow Airport, illustrating the growing scale of planned AI infrastructure. Graphic comparing the scale of major AI data centres. SpaceXAI’s planned Colossus complex (70,000 sq m) is shown as roughly twice the size of the Houses of Parliament. OpenAI-backed Stargate in Texas (3.5 sq km) is compared with New York's Central Park. Meta's proposed Hyperion complex in Louisiana (11 sq km) is shown as roughly the size of London Heathrow Airport, illustrating the growing scale of planned AI infrastructure. bbc.co.uk
Side-by-side satellite images show woodland in Tennessee in 2020 and the same site in 2026 after large-scale development for SpaceXAI’s Colossus 2 data centre. The 2020 image shows dense forest surrounding a small industrial facility. The 2026 image shows most of the woodland cleared and replaced by a vast industrial complex with multiple large buildings labelled "MACROHARD" and "MACROHARDER".  Side-by-side satellite images show woodland in Tennessee in 2020 and the same site in 2026 after large-scale development for SpaceXAI’s Colossus 2 data centre. The 2020 image shows dense forest surrounding a small industrial facility. The 2026 image shows most of the woodland cleared and replaced by a vast industrial complex with multiple large buildings labelled "MACROHARD" and "MACROHARDER".  bbc.co.uk

Data centres have moved from the business pages to the ballot. Ahead of the US midterms on November 3, both Republicans and Democrats are campaigning against data centre development, sixteen states have proposed laws to ban or temporarily block new facilities, and President Trump has dismissed the pushback as a "sick conspiracy." Around 12,250 data centres now operate worldwide, up from roughly 8,000 in 2021, and the US hosts the most at 4,767 sites.

The backlash has physical roots. Data centres worldwide are thought to consume more electricity than the whole of France, driving up carbon emissions and straining local grids — which some fear will push up energy prices for everyone connected to them. Cooling can draw significant water, and experts warn of shortages. Elon Musk's xAI will power its Colossus 2 site — built to train Grok, housing hundreds of thousands of Nvidia chips — with 41 methane gas turbines; activists say they could significantly increase local air pollution, while local regulators say the turbines will meet air quality standards. Opposition has spread beyond the US to Mexico, France, Indonesia and the UK.

The capacity gap is widening. In actual compute, the US leads by a large margin, China is second, and Europe lags far behind — and the gap is set to grow. The world's largest operational data centre, run by China Telecom in Hohhot, covers about a million square metres, roughly 140 football pitches, and much larger sites are under construction. Some warn Europe risks missing out on the economic benefits of the AI boom; supporters of the buildout say data centres are critical to national security and attract investment, tax revenue and jobs.

The fiscal pattern is familiar to anyone who has watched the numbers: hyperscalers collect tax breaks while ratepayers fund the grid upgrades, and the promised productivity returns remain theoretical — Apollo's own economist recently showed margins across the S&P 493 flat despite the trillion-dollar compute buildout. America is now about to vote on whether it wants more of the same. Europe, which already fights these battles over water permits and grid queues, will watch the returns with interest.