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How NDAs keep AI data center details hidden from Americans
Key Excerpts from Article on Website of NBC News
Posted: June 17th, 2026
https://www.nbcnews.com/tech/tech-news/data-center-ai-google...
The construction of ... hyperscale data centers — giant facilities that house servers and computing resources — is booming nationwide. President Donald Trump’s AI action plan and related executive orders have recently facilitated their speedy approval, in part by loosening environmental regulations. As the facilities have spread into suburbs and farmland, they’ve drawn pushback from dozens of communities concerned by how they could upend daily life. Data centers often draw enormous amounts of water and electricity, causing residents to complain about rising power bills and water shortages. The confidentiality behind some of the projects has only added to the level of concern. An NBC News review of over 30 data center proposals across 14 states found that in a majority of cases, local officials signed NDAs and worked with what appeared to be shell companies that can conceal visibility into the project developers. Five elected officials in different counties said the agreements barred them from sharing information with their constituents. Some local officials ... said they felt pressured to sign NDAs to keep their communities in the running. Data center NDAs can extend years beyond the initial proposal dates. Many of them also include clauses requiring local jurisdictions to limit disclosure of records as much as legally possible under Freedom of Information Act laws and notify the companies first so they have a “reasonable opportunity to prevent disclosure.”
Note: Read about a small Wisconsin city that successfully defeated a giant data center. For more along these lines, read our concise summaries of news articles on AI and Big Tech.
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