Goldman Sachs Sees Steady US Data Center Growth Despite Opposition
Goldman Sachs has reported that political opposition to data centers in the United States is not significantly hindering their growth. The investment firm adjusted its capacity forecasts for 2026 and 2027, signaling continued demand despite local resistance. Data centers are critical for powering AI models, which has contributed to their increasing importance and prevalence.
The firm raised its 2026 year-end US data center capacity forecast by 5 gigawatts (GW) to 64 GW but reduced its 2027 forecast by 5 GW to 90 GW. Despite growing opposition from communities concerned about electricity demand and utility costs, Goldman Sachs maintains that the overall growth outlook for US data centers through 2027 remains largely intact.
According to a June Reuters/Ipsos poll, only 33% of Americans approve of the current pace of data-center construction. Just 14% of respondents would support building a data center in their community to support AI projects for major tech firms like Meta, Alphabet, Amazon, Microsoft, and Elon Musk's xAI.
Public sentiment has turned more negative, posing a political challenge for Republicans ahead of the US midterm elections on November 3. The backlash reflects broader concerns about the environmental and economic impacts of data centers, even as their role in supporting AI advancements continues to expand.