Amazon has vowed to invest $1 billion in towns with data centers as states and cities push back.
Amazon Web Services CEO Matt Garman explained the move in a blog post, comparing the building of data centers to America’s transportation system:
The buildout of America’s modern transportation system transformed the U.S. economy and way of life, creating countless new businesses and jobs, and connecting communities in ways that reshaped how Americans lived and worked. Seventy years later, we’re in the midst of the largest infrastructure buildout since the highways—our digital infrastructure. The rapid adoption of the Internet starting in the late 1990s, and then cloud computing in the mid-2000s, changed the way we interact with information and services, and substantially lowered barriers for entrepreneurs, companies, and governments to provide new customer experiences. Today, virtually everything we do each day—shopping, banking, stock trading, ride hailing, booking travel, receiving healthcare, streaming entertainment, as well as critical research in everything from preventing and curing disease to finding ways to use less energy and natural resources—is digitally driven and enabled by data centers, which manage the computing, storage, and access necessary for these activities. In the last few years, there’s been a rapid acceleration of data center construction across the country with the advent of Artificial Intelligence (AI).
“Just like the national highway system, our country’s economy, national security, and everyday lives stand to benefit immensely,” Garman added. “And, unlike the railroads and highways, this buildout is being financed without taxpayer money because private industry is picking up the tab.”
Garman promised transparency, saying Amazon would work with communities and state governments.
The data centers would also create thousands of jobs before, during, and after construction. Most of those jobs would go to people who live in the community. Amazon would also use supplies from local small businesses.
The $1 billion commitment stems from the community program “Built Together.” The investment would go towards education and workforce pathways, including free community college and workforce training.
Garman assured everyone the money would also have grants available to upgrade energy efficiency in schools, community buildings, and even homes.
This is interesting: No more nondisclosure agreements with government agencies.
“We host open houses in communities where we operate to share information about what we’re doing and encourage open dialogue,” explained Garman. “We share information about our plans as early as possible, listen to concerns, and ensure communities have the facts and the ability to engage with us as projects progress.”
Garman and Amazon know each state and its communities are different. Therefore, Amazon would work with local nonprofits and foundations to address any issue in the community.
“This is just the start and we’re going to keep at it—doing our part to build responsibly and with the communities with whom we partner,” concluded Garman. “We’re building our future, together.”
Leslie recently wrote about data centers facing fines and permit delays, acting as if these places are the boogeyman.
It doesn’t shock me that Virginia fined Microsoft $2.5 million for exceeding emissions limits last year.
Of course, New Jersey fined a Vineland data center with a $17 billion AI deal with Microsoft because it operated 62 natural gas-powered generators without a permit.
But in Texas, of all places, Gov. Greg Abbott halted data centers that require state permits so officials can investigate how those centers impact local utilities and resources.
Texas Attorney General Ken Paxton started investigating all data centers to confirm they comply with the Texas Water Development Board reporting requirements.
“Environmental protection matters, but AI development should not be allowed to suffer death by 1,000 permits and 10,000 regulations, especially as the Chinese are linked so closely to environmental lawfare in this country,” wrote Leslie.
Bingo.
Garman agreed with Leslie:
It’s still very early, yet AI is already transforming businesses, industries, and customer experiences in ways we couldn’t have imagined just a few years ago. AI will power the next generation of businesses, hospitals, schools, and other critical public services, as well as critical defense systems, intelligence analysis, cyber defense, and satellite operations—and new kinds of skilled jobs will be created to help make it all possible. Just like the national highway system, our country’s economy, national security, and everyday lives stand to benefit immensely. And, unlike the railroads and highways, this buildout is being financed without taxpayer money because private industry is picking up the tab.
There is urgency to this data center buildout because we aren’t the only country that sees the benefits of AI for the economy and national security, and the countries that lead in AI will shape it and get the most from it in the short and long run. The choices we make today will determine that outcome, and a lapse in our nation’s focus or resolve could put us behind, and potentially irreparably so.
Donations tax deductible
to the full extent allowed by law.