Utah Approves Giant Data Center Despite Water and Power Fears

Utah Approves Giant Data Center Despite Water and Power Fears

Cover image from theguardian.com, which was analyzed for this article

Massive data center projects, like Utah's twice-Manhattan-sized facility, draw 'irresponsible' backlash over energy use and land impact. Local leaders push moratoriums amid AI boom. Job promises face skepticism as rural areas brace for growth.

PoliticalOS

Wednesday, May 13, 2026Tech

3 min read

The Stratos approval pits promised tax revenue and jobs against unproven long-term effects on water and temperature in a drought-stressed region. Readers should track whether the referendum gathers enough signatures and whether phased reviews actually enforce the governor’s lake-protection conditions.

What outlets missed

Most coverage omitted that developers plan to use non-potable brackish groundwater and closed-loop systems rather than compete directly for agricultural or lake water. County documents also detail $108 million in projected annual tax revenue and explicit noise and dark-sky standards attached to the approval. The governor’s phased-review conditions and the unanimous commissioner vote after more than 2,500 public comments received little attention outside local filings. Claims of 40-to-70 data centers in Cheyenne and specific water percentages cited in Wyoming reporting could not be corroborated by utility records.

Utah residents now face a concrete test of whether rapid AI infrastructure can coexist with scarce water and strained power systems. Box Elder County commissioners approved the Stratos project last week, clearing a 40,000-acre footprint across three sites that would require roughly 9 gigawatts at peak—more than the state’s current average consumption. The plan, backed by investor Kevin O’Leary, promises thousands of construction and permanent jobs plus tax revenue, yet it has triggered nearly 4,000 formal objections and a referendum drive to overturn the decision.

The central tension is whether phased development and on-site generation can prevent harm to the shrinking Great Salt Lake and local electricity rates. Developers withdrew an initial request to divert 1,900 acre-feet of agricultural water and now intend to rely primarily on brackish groundwater with closed-loop cooling. Governor Spencer Cox has required that the project begin at 2,000 acres, undergo further reviews, and demonstrate no measurable damage to the lake or increases in resident bills. County records show the approval included noise limits at 55 decibels and formation of an oversight committee.

Guardian and Business Insider both leaned heavily on environmental concerns and skepticism of developer claims, while the Blaze opinion piece stressed infrastructure risks with unverified figures. The unrelated Blaze crime story introduced unrelated framing. Across pieces, verified elements such as referendum filings and governor conditions appeared consistently only in local-source material.

Behind the Coverage

B

theguardian.com

Most biased

B

theblaze.com

B

theblaze.com

B

businessinsider.com

Least biased

What each outlet got wrong

theguardian.com

The Guardian used sensational language like 'gargantuan project spanning an area more than twice the size of Manhattan' and 'suck up a significant amount of water,' stacked quotes from activists such as Franque Bains and Rob Davies, and inserted editorial judgment by adding 'although gas is a fossil fuel that is dangerously overheating the world and isn’t clean' after O’Leary’s quote on turbines.

Our version: The neutral version balances economic promises like '$108 million annual tax revenue and at least 2,000 permanent positions' with criticisms, includes safeguards like phased development and brackish groundwater use, and presents projections like heat increases and emissions claims as unverified.

theblaze.com

In the opinion piece on Cheyenne's moratorium, author Mark Moody cited unverified stats like 'Cheyenne currently has 12 fully operating data centers' using 'around 1.2% of Cheyenne’s total water supply' and projections of '40 to 70 data centers' without sources, inflating current threats to justify the pause.

Our version: The neutral version notes the Cheyenne moratorium context briefly, specifying 'unverified projections of 40 to 70 future facilities and questioned cumulative water and land-use effects' to highlight lack of verification without endorsing the figures.

businessinsider.com

Business Insider misidentified the Utah project as 'Wonder Valley' (actually O’Leary’s Canadian project), invented a 'University of Southern California Marshall School of Business' study claiming 78% workforce shrinkage leading to '1,350' permanent jobs, and cited a nonexistent 'FAQ sheet... on Utah Gov. Spencer Cox's website' committing to 2,000 jobs.

Our version: The neutral rewrite correctly names the 'Stratos project,' lists verified county projections of '$108 million annual tax revenue and at least 2,000 permanent positions' as 'subject to final MIDA development agreements,' and flags 'Business Insider reporting... contained multiple inaccuracies, including misidentification of the site as “Wonder Valley” and citation of a nonexistent University of Southern California study.'

Facts outlets left out

Use of brackish groundwater with closed-loop cooling after withdrawing initial agricultural water request, minimizing competition with Great Salt Lake or farms

Omitted by: theguardian.com, businessinsider.com

Projected $108 million annual tax revenue and at least 2,000 permanent jobs from county fact sheet

Omitted by: theguardian.com

Governor Cox's requirements for phased start at 2,000 acres, further reviews, no harm to Great Salt Lake or resident bills, plus noise limits at 55 dB and oversight committee

Omitted by: theguardian.com

Stratos is the correct Utah project name, not 'Wonder Valley' (O’Leary’s separate Alberta site)

Omitted by: businessinsider.com

Framing tricks we caught

Loaded headline

‘Irresponsible’: backlash as Utah approves datacenter twice the size of Manhattan (theguardian.com)

Neutral alternative: Neutral rewrite uses 'Utah residents now face a concrete test of whether rapid AI infrastructure can coexist with scarce water and strained power systems,' presenting tension without alarmism.

Source asymmetry

Guardian heavily quotes critics like 'At a time when the Great Salt Lake is already in crisis... irresponsible and dangerous' (Franque Bains) and Davies on 'extreme' thermal load, with brief, undercut O’Leary snippets.

Neutral alternative: Neutral includes critics (Bains, Abbott, Davies) alongside O’Leary’s counters on jobs, grid isolation, and protester origins, plus official county and governor details.

Editorial insertion

After O’Leary’s 'We are going to burn it with turbines, clean,' Guardian adds 'although gas is a fossil fuel that is dangerously overheating the world and isn’t clean.'

Neutral alternative: Neutral states facts on 'new gas-fired turbines... to isolate demand from the existing grid' without unattributed judgment.

Unverified projections as fact

Guardian presents 'raise the state’s planet-heating pollution by about 50%' and Davies’ 2-12°F heat rises without noting they are from single advocate analyses.

Neutral alternative: Neutral specifies 'No independent verification exists for claims that the project will raise statewide emissions by 50 percent,' clarifying status.