Microsoft president says building data centres requires trust of US communities

March 24, 2026 11:13 AM EDT

Microsoft's Vice Chair and President Brad Smith, addresses the gathering at the AI Impact Summit, in New Delhi, India, February 19, 2026. REUTERS/Bhawika Chhabra

By Laila ‌Kearney

HOUSTON, March ​24 (Reuters) - ​Gaining the approval of local communities has become paramount ‌to building data centers in the ⁠U.S., Microsoft President Brad Smith said on ‌Tuesday, as towns across ‌the country increasingly protest the developments.

The rapid proliferation of Big Tech ​data centers is driving up the country's electricity demand and power ⁠bills, and drawing scrutiny from states and local ​communities.

"You have to win over the local community and sustain their ​trust if you ‌are going to build a (data center)," Smith said at the ⁠CERAWeek conference in Houston. "Obviously what you are seeing in the United States ⁠is now a concern about data centers."

Opposition from ​towns and counties in the Midwest and Northeast in recent months has led to ‌the cancellation of data center developments over concerns of ‌rising power prices, water impact and pollution ⁠from accompanying power ‌infrastructure.

(Reporting by ​Laila Kearney in Houston, Editing by Franklin Paul and Nia ‌Williams)



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