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The $1TN Problem: Winning Social License for AI Data Centers

May 18, 2026
By Zachary Kaplan, Joseph Faddoul, Daniel Martinko & Dan Gabaldon

AI Data Center Social License

As AI infrastructure investment accelerates across the United States, AI data centers are facing growing scrutiny over energy demand, water use and community impact. More than $1 trillion is expected to flow into new data center capacity through 2030, while public opposition is increasingly delaying permitting and approvals. The report explores how social license has become a critical factor shaping project timelines, deployment risk and the future of U.S. AI infrastructure.

Stakeholder Engagement and Project Risk

The paper examines why early stakeholder engagement is becoming central to data center development strategy, particularly during zoning and regulatory approval stages where most delays occur. It outlines how developers can reduce permitting risk through community engagement, socio-economic impact planning and energy strategy, while improving public acceptance and protecting long-term infrastructure investment outcomes.

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The views and opinions in these articles are solely of the authors and do not necessarily reflect those of Teneo. They are offered to stimulate thought and discussion and not as legal, financial, accounting, tax or other professional advice or counsel.

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