San Jose's AI data center expansion faces pushback from residents and environmental groups

San Jose, the largest city in Silicon Valley, is pushing to build new data centers and turn itself into an AI infrastructure hub. The city estimates each new data center could bring in $3 million to $6 million in taxes every year, funding police, fire services, libraries and parks.

But residents and environmental groups are pushing back. Elena Yin, a leader of the grassroots group Love San Jose Coalition, said these companies must prove why they deserve to use local resources and how they will give back. People want stricter public review, more transparency on energy and water use, and a look at health and environmental impacts.

Air pollution is another major issue. In April, a coalition led by the Center for Biological Diversity asked the Bay Area Air Quality Management District to tighten rules on diesel backup generators at data centers. The Data Center Coalition, whose members include Google, Meta, OpenAI and Anthropic, supports responsible growth but says singling out data centers alone is unfair.