Research Timeline: Late March 2025 - June 2025.

Key Takeaways:

1. Q2 2025 marked a turning point in data center development risk. In just three months, 20 projects were blocked or delayed amid local opposition, affecting $98 billion in potential investment—more than all disruptions tracked since 2023. Political, regulatory, and community opposition is accelerating in both scale and frequency.

2. The rollback of tax abatements is emerging as a critical political risk for hyperscale data centers. Lawmakers are increasingly questioning the value of data center subsidies, citing concerns around energy use, fairness, and infrastructure impact. This shift has contributed to the suspension of major projects in Minnesota and South Dakota.

3. Community opposition continues to grow, with 53 active groups across 17 states targeting 30 data center projects in Q2 alone, bringing the total to 188 groups nationwide. During this period, 66% of the tracked protested projects were blocked or delayed. As development expands and media attention intensifies, local groups are learning from one another. Petitions, public hearings, and grassroots organizing are reshaping approval processes—especially in Indiana and Georgia.