Kevin O'Leary defends his Utah data center project: 'Think about the number of jobs'

Kevin O'Leary, the prominent venture capitalist and 'Shark Tank' star, is stepping up to defend his controversial AI data center project in Utah, insisting that public opposition stems from misunderstandings about such facilities. Speaking on X, O'Leary emphasized the job opportunities that the project could generate, urging residents to consider the economic benefits alongside their environmental concerns. O'Leary, who holds a degree in environmental studies from the University of Waterloo, acknowledged the apprehensions raised by local communities regarding water use, air quality, and wildlife. He expressed empathy for these concerns, stating, 'I totally get it.' However, he argues that many of the criticisms are fueled by misinformation and the legacy of poorly represented data centers. The Stratos Project, which is set to occupy a sprawling 40,000-acre campus in Box Elder County, has faced significant pushback from residents. Despite the community's opposition, county commissioners, along with the support of Utah's Military Installation Development Authority, gave the green light to the initiative. O'Leary suggested that much of the resistance comes from 'professional protesters' who, according to him, may have ulterior motives. One of the biggest worries among locals is the potential impact on water resources, as data centers are known to consume vast quantities of water. O'Leary countered this by explaining that modern data centers have implemented advanced technologies, including closed-loop systems that minimize evaporation and air-cooled turbines to regulate temperature, which significantly reduce water usage compared to older models. A fact sheet from Box Elder County asserts that the Stratos Project will not affect the water supply of the Great Salt Lake or local agriculture and homes. However, skepticism remains among residents, especially after reports surfaced about an application to divert water from a nearby spring being withdrawn due to public outrage. O'Leary stressed the importance of balancing sustainability with development, stating that the value of understanding environmental rights and community needs outweighs mere financial gain. He echoed sentiments shared by Anjney Midha, a lecturer at Stanford, who emphasized the need for transparency and community engagement in making data centers beneficial for local populations. In a follow-up post, O'Leary pledged that his project would prioritize transparency, aiming to set a precedent for responsible and community-focused data center development.