The Data Center Resistance: How Local Pushback is Reshaping Tech Infrastructure in Red States

On Election Day in Georgia, Peter Hubbard's victory wasn't just a win for Democrats—it marked the first statewide Democratic seat in nearly two decades. Elected to the Georgia Public Service Commission (PSC), which oversees the state's electric utilities, Hubbard's campaign highlighted a groundswell of voter concerns that extend far beyond traditional party lines. Residents, frustrated by years of rate hikes, are now zeroing in on the voracious appetite of data centers for water, electricity, and land, all while benefiting from generous tax incentives.

"The number one issue was affordability," Hubbard told Wired, "but a very close second was data centers and the concern around them just sucking up the water, the electricity, the land—and not really paying any taxes." This sentiment echoes a broader national trend, as Georgia has emerged as one of the fastest-growing markets for data center development, fueled by tax breaks and proximity to tech hubs.

A new report from Data Center Watch, a project by AI security firm 10a Labs, underscores this rising tide of opposition. Tracking community resistance since 2023, the report—authored by Miquel Vila and independent of the company's client work—documents a "sharp escalation" in pushback during the second quarter of 2025. From March to June, opposition blocked or delayed $98 billion in data center projects, up from $64 billion in the prior period. Eight projects were outright blocked, including two in Indiana and Kentucky, while nine others faced delays. One notable case: a $17 billion development in Atlanta's suburbs was paused in May after a county-wide moratorium, spurred by local outcry.

Bipartisan Backlash in Unlikely Places

This resistance isn't confined to blue states. Red states like Georgia and Indiana are leading a bipartisan charge against data center sprawl. In Virginia, the nation's data center epicenter, Governor-elect Abigail Spanberger has vowed to make data centers "pay their own way" for power. Similarly, state delegate Josh Thomas from Loudoun County—home to the world's highest concentration of data centers—reeled in his reelection by emphasizing reforms to curb unchecked growth.

Thomas points to the Prince William Digital Gateway, a controversial plan for over 30 data centers near a national reserve. Local homeowners challenged it in court, and in August, a judge voided the zoning, halting construction temporarily. "The little guy finally won," Thomas said, referring to victories against the 'Magnificent Ten'—the U.S.'s biggest tech giants. Though the ruling was stayed in October, allowing work to resume pending trial, it galvanized political momentum.

Polling from Heatmap reinforces this shift: less than half of Americans across political lines support new data centers. National Republicans like Sen. Josh Hawley, Rep. Thomas Massie, and Rep. Marjorie Taylor Greene have joined the fray, with Greene posting on X: "People you have got to pay close attention to your local city, county, and state approvals of data centers and demand your water and energy bills be protected!!!"

The Tech Implications: Resource Strain and Regulatory Reckoning

For developers and tech leaders, this resistance poses profound implications. Data centers are the backbone of cloud computing, AI, and modern infrastructure, powering everything from machine learning models to real-time web services. Yet their energy demands are staggering—equivalent to small cities—and often subsidized by taxpayers through tax abatements. In Virginia, data center loads are already inflating utility bills, a trend Hubbard warns could exacerbate in Georgia as AI-driven demand surges.

The Data Center Watch report, based on public documents like media reports and petitions (which amassed nearly 50,000 signatures in Q2 2025), highlights a 'turning point.' As Miquel Vila notes, "Before, [resistance] was something that could happen. Now it seems that it’s very likely that when you are developing [a data center], potentially someone is going to organize."

Industry groups like the Data Center Coalition counter that these facilities drive economic benefits, supporting 4.7 million jobs and $162 billion in taxes in 2023. VP Dan Diorio emphasizes community engagement, but critics argue that nondisclosure agreements shroud projects in secrecy, eroding trust.

A Delicate Balance for the AI Era

Despite $93 billion in stalled investments, the data center boom persists, backed by big tech's massive outlays—Meta alone plans $600 billion for AI infrastructure over three years. Temporary wins, like the Prince William stay, remind us that regulatory battles are far from over. In Virginia's upcoming session, Thomas plans to revive a vetoed reform bill, bolstered by a growing bipartisan coalition.

As communities demand accountability, tech leaders must navigate this new landscape. The resistance isn't anti-innovation; it's a call for sustainable growth. For engineers building the next wave of AI and cloud systems, the message is clear: infrastructure isn't just about scaling servers—it's about scaling responsibly, ensuring that the digital economy doesn't come at the expense of local livelihoods.