NAIIMBY
Submitted by Atlas Indicators Investment Advisors on November 29th, 2025
Having not seen it elsewhere, Atlas may have coined an acronym: NAIIMBY (No Artificial Intelligence In My Backyard). A movement against AI data centers in American neighborhoods is intensifying. Residents across the country are growing concerned about these massive facilities, which are often sited near homes, schools, and farms. In places like Virginia, Indiana, and Michigan, opposition is fueled by concerns over environmental degradation, excessive electricity and water usage, and reduced property values. Data centers can require vast energy to run and lots of water for cooling them. The International Energy Agency suggests a typical AI-focused data center uses as much electricity as 100,000 households.
Community members are beginning to argue that the costs far outweigh the supposed economic benefits. This is especially true when they believe few jobs will be created and existing infrastructure will become overwhelmed. They are having some success. Residents of Franklin Township, Indiana pushed back against plans for rezoning efforts from the parent company of the world’s largest search engine.
This shift in sentiment is putting billions of dollars on the line here. According to this website, over $64 billion worth of data center projects have been blocked or delayed by community opposition. The resulting pushback is reshaping zoning debates. Big tech firms are lobbying for quick expansions to meet the surge in AI demand. Delaying major projects is highlighting yet another divide in America. Local governments are becoming the stronghold against encroaching interest from other areas of the nation like Silicon Valley. Like AI, the story of NAIIMBY might only be in the earliest stages.
