At least 75 data center projects worth approximately $130 billion were blocked or delayed in the first quarter of 2026 alone, bringing total disruptions linked to community opposition to approximately $228 billion. More than 500 localities across 39 states have enacted bans, moratoriums, or other restrictions on new data center development. Between 61% and 71% of Americans oppose new data centers being built in their communities, a figure that has transformed a quiet zoning issue into a major political flashpoint. Eight states enacted legislation in 2026 specifically rolling back data center tax subsidies, with another 17 states considering similar measures. The industry argues that restricting data center construction means ceding ground to China and its competitors.
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