Backlash over data centers tests Europe's AI ambitions

A growing backlash over data centers in Europe is testing the continent's ambitions to lead in artificial intelligence (AI). With concerns over water and electricity consumption looming, governments and companies are grappling with where to build these crucial facilities. In Europe, data centers are often located near major cities like Frankfurt, London, Amsterdam, Paris, and Dublin to capitalize on connectivity, proximity to users and businesses, and established ecosystems.

However, the recent push towards greater digital sovereignty has led to the construction of new centers in more rural areas, such as Groningen, Barcelona, and Brussels. This shift is raising alarms about the potential strain on grids, water resources, and energy bills, particularly as the summer months saw record heat in Europe, leading to water restrictions in some regions.

The European Commission announced a new scheme to increase transparency on energy and water usage among data centers, with facilities above 500 kW receiving efficiency grades. Despite technological innovations like cooling systems that use 30% less power and consume no water, opposition remains strong. In Etrechet, France, officials resigned over Google's planned data center due to concerns about power demand.

Critics argue that data centers can be built to save energy and even contribute to energy independence by feeding waste heat into heating networks.