MEMPHIS, Tenn. – Artificial intelligence is exploding in the Mid-South, with several data centers under construction and even more on the way.
However, a new report released Thursday by the climate research company First Street finds that many of today’s fastest-growing data center hubs are located in areas with exposure to significant climate risks.
The report found that 79 percent of 97 global data center markets face acute climate risk from wind, flooding, or wildfires. 54 percent of these markets also exceeded defined thresholds for heat or drought.
While the report did not include Memphis specifically, the Bluff City did meet the criteria for chronic heat risk, of 50 or more days with temperatures exceeding 90 degrees each year.
On average, Memphis experiences 64 days of 90+ degree heat annually. Last year, the Bluff City saw 76 such days, and in 2022, the tally was over 100 days.
This means water is an increasingly vital data center resource, as it is needed to cool the facility.
Jeremy Porter is the chief economist for First Street.
“When you think about a data center, you are concerned about water availability for cooling. You are concerned about electrical grids for power. You are concerned about fiber access for data generation and, sort of, production,” Porter says.
With intense heat and heatwaves becoming more common across the globe, water becomes even more important to data centers as a cooling mechanism.
“You would need to rely on extra, sort of, sources of cooling, power for cooling, and resources like water for cooling. And then that could become resource-intensive,” said Jasmina Buresch, senior economist for First Street.
FOX13 has reported that xAI recently halted construction on the promised grey water facility, which would reduce the company’s reliance on the Memphis aquifer for cooling.
The group Protect Our Aquifer provided FOX13 Investigates with records last month that showed xAI’s Southwest Memphis facility used 24 million gallons of fresh drinking water during the month of March.
If water resources like the Memphis aquifer become depleted, experts say it can lead to lower water quality and water pollution.
“If you’re depleting water, ultimately you have to find additional cooling resources. You can’t deplete water from, you know, a city the size of Memphis without dire consequences,” Porter said.
Download the FOX13 Memphis app to receive alerts from
breaking news in your neighborhood.
Trending stories: