Data center boom is draining state budgets and clustering in drought-stressed regions

—Investigative reporting reveals that data centers are extracting enormous tax subsidies from state governments while simultaneously concentrating in areas already facing severe water scarcity. Popular Information documents how tax breaks granted to attract data centers are creating structural holes in state budgets that ultimately shift costs onto residents. Mother Jones adds that the majority of new U.S. data center projects are sited in drought-afflicted regions, compounding water-stress risks for local communities.