Data Centers: Separating Fact from Fiction

Why Data Centers Matter

Statement:

"Data centers are critical infrastructure that support the modern economy."

Fact or Fiction?

Fact

Why?

Data centers power cloud computing, online banking, emergency communications, telehealth, streaming services, artificial intelligence, and countless other digital services used every day by businesses and consumers. As demand for these services continues to grow, so does the need for digital infrastructure.

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Statement:

"Data centers provide limited economic benefits to local communities."

Fact or Fiction?

Fiction

Why?

Data center projects generate economic activity that extends well beyond the facility itself. Construction requires contractors, suppliers, manufacturers, engineers, transportation providers, and other service firms throughout the economy. In addition to supporting jobs and investment during construction, these projects can contribute to local tax bases and infrastructure improvements that benefit surrounding communities.

Construction & Economic Impact

Statement:

"Data centers are helping drive construction demand nationwide."

Fact or Fiction?

Fact

Why?

At a time when some private nonresidential construction categories are slowing, data centers remain one of the strongest sources of construction demand. According to Census Bureau data, spending on data center construction reached $50.7 billion at a seasonally adjusted annual rate in April 2026, up 28 percent from one year earlier. Data centers have become one of the fastest-growing segments of nonresidential construction.

Statement:

"Data centers are just another commercial building."

Fact or Fiction?

Fiction

Why?

Data centers are among the most complex construction projects being built today. These facilities require specialized electrical systems, backup power generation, cooling equipment, fiber connectivity, security systems, and extensive utility infrastructure. In many cases, the supporting infrastructure is as significant as the building itself.

Statement:

"Data centers create demand for only a small segment of the construction workforce."

Fact or Fiction?

Fiction

Why?

Data center projects require a wide range of skilled trades and construction professionals, including electricians, operating engineers, concrete specialists, ironworkers, plumbers, pipefitters, truck drivers, project managers, and engineers. These projects create demand across much of the construction supply chain.

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Energy & Resources

Statement:

"Data centers are solely responsible for rising electricity costs."

Fact or Fiction?

Fiction

Why?

Electricity prices are influenced by numerous factors, including fuel costs, generation capacity, transmission infrastructure, regulatory policies, and overall demand growth. While data centers contribute to growing electricity demand, many of the infrastructure challenges being discussed today existed long before the recent surge in artificial intelligence and cloud computing.

Statement:

"All data centers consume excessive amounts of water."

Fact or Fiction?

Fiction

Why?

Water use varies significantly depending on facility design, cooling technology, climate, and location. Many newer facilities utilize technologies designed to reduce water consumption and improve efficiency. Impacts should be evaluated on a project-specific basis rather than through broad assumptions.

Communities & Infrastructure

Statement:

"Communities must choose between quality of life and data center development."

Fact or Fiction?

Fiction

Why?

Concerns surrounding land use, energy demand, water resources, noise, and quality of life are important considerations. Many of these issues can be addressed through project design, planning, permitting, and community engagement. Economic growth and quality of life are not mutually exclusive goals.

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Why Data Centers Matter

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Construction & Economic Impact

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Energy & Resources

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Fact or Fiction?

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Communities & Infrastructure

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