Big Tech shifts data center ambitions overseas as US costs and opposition mount

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Building a data center in the US used to be the obvious play for Big Tech. That calculus is changing fast, and the numbers explain why. Around 75 projects valued at more than $130B were either blocked or delayed domestically in Q1 2026 alone, largely due to local opposition. A March 2026 Gallup poll found that 70% of Americans oppose new data center construction in their communities. Microsoft, Google, Amazon, and Meta are now doing what any rational capital allocator would do: looking elsewhere. The cost problem is getting worse The sticker shock starts with construction. Average new US data center projects now run about $1B, with all-in greenfield development reaching roughly $17.6M per megawatt of capacity. The raw materials driving those costs aren’t cooperating either. Copper wire prices have climbed 17.9% year-over-year through mid-2026, while steel is up 22.5% over the same period. Then there’s the cost of waiting. A one-year delay on a typical 100 MW US data center can destroy $500M to $550M in lifecycle value. Where the money is going instead India has emerged as one of the most compelling alternatives. Build costs there run $6M to $7M per megawatt, compared to $10M to $14...

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