If the US Has to Build Data Centers, Here’s Where They Should Go

A recent analysis examining the environmental footprint of AI-related data centers in the US reveals that the current favored locations for these facilities may not be the most sustainable choices. With tech giants like Meta and OpenAI committing hundreds of billions to trillions of dollars toward US data center infrastructure, the study highlights the urgent need to consider environmental impacts—particularly carbon emissions and water usage—when deciding where to build. The research, led by Cornell professor Fengqi You, emphasizes that data centers’ environmental costs vary significantly depending on their location, due to differences in energy grid cleanliness and water availability for cooling. The analysis identifies states such as Texas, Montana, Nebraska, and South Dakota as optimal for future AI data center installations because they balance access to cleaner energy and sufficient water resources. In contrast, traditional hubs like Virginia and California, while popular due to proximity to tech hubs and fiber connectivity, face challenges: Virginia’s heavy data center energy demand could hinder its clean energy goals, and California’s chronic water scarcity poses risks for