Kevin O’Leary Plans AI Data Center in Utah Amid Resident Concerns
Celebrity investor Kevin O’Leary is embarking on an ambitious project to establish an artificial intelligence (AI) data center in rural Box Elder County, Utah. The facility is projected to have a computing capacity of 7.5 gigawatts and will be similar to his proposed $70 billion AI campus in northern Alberta. However, O’Leary’s Utah data center is already facing significant opposition from local residents concerned about its environmental impact.
Project Overview
The data center is intended to occupy approximately 10,000 to 13,000 acres as part of a larger 40,000-acre development on privately held land. This development will also feature a natural gas power plant capable of generating up to nine gigawatts. On May 4, the Box Elder County Commission approved two resolutions that allowed the project to move forward, but this decision has sparked vocal dissent among residents.
Concerns from Residents
- Many residents fear that the data center could exacerbate climate change effects.
- Concerns have been raised about the Great Salt Lake, which is experiencing critical low water levels.
- Local residents are particularly worried about the ecological consequences of a significant energy production increase.
Robert Davies, a physics professor at Utah State University, has expressed that the proposed data center would be built in a fragile desert ecosystem. He highlighted that the valley is already suffering from low precipitation, which affects local flora and fauna. Additionally, residents like Brenna Williams have voiced skepticism that the data center will not worsen existing air quality and water scarcity issues.
Project Advantages
Despite the mounting opposition, O’Leary and supporters argue that the AI data center will provide substantial economic benefits. The project is expected to create nearly 2,000 permanent jobs and generate additional tax revenue for the county.
O’Leary has emphasized the potential for the project to significantly enhance U.S. computing capacity, stating that “the country that excels in AI will achieve superior productivity and advancements in various sectors.” He aims to begin construction by the end of next year, contingent on passing environmental assessments.
Environmental Safeguards
In response to concerns, O’Leary’s team has stated that the center will utilize a closed-loop cooling system to minimize water usage and will not draw water from the Great Salt Lake basin. They are also implementing heat-capture systems to repurpose waste heat, thus reducing the overall environmental footprint of the operation.
Public Involvement and Transparency
Local residents, spearheaded by Williams and her son Tameron, are advocating for a referendum to allow community members to vote on the project’s future. They argue that the county’s decision-making process lacked sufficient public input, and they seek more transparency and accountability from the developers.
The Box Elder Accountability Referendum group has commenced efforts to gather over 5,400 signatures from registered voters to get a question regarding the project on the ballot for the upcoming November midterm elections.
Regulatory Challenges
Concerns have also been raised regarding the adequacy of current environmental regulations in relation to the project’s scale. Experts have questioned whether existing laws are equipped to handle the impact of such a large-scale facility.
Alberta Project Status
Meanwhile, O’Leary’s Alberta project still requires permits, although Alberta’s government has opted not to undertake a comprehensive environmental impact assessment at this stage. The province, however, mandates that detailed technical assessments be submitted to demonstrate the project’s feasibility and safety.
In conclusion, while the proposed AI data center in Utah presents impressive technological potential and economic benefits, it faces significant hurdles related to environmental concerns and local opposition. The path forward will depend significantly on how these issues are addressed in the forthcoming assessments and community discussions.


