Tech giants eye Florida amid data center boom
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A Microsoft data center in Virginia. Photo: Lexi Critchett/Bloomberg via Getty Images
Tech giants are eyeing Florida for expansion of large-scale data centers, the Tampa Bay Times reported.
Why it matters: A ramp-up of the industry would thrust the Sunshine State into a national battle between rapidly expanding AI use and concerns over affordability and the environment.
State of play: Florida so far hasn't been a hot spot for "hyperscale" data centers — the massive warehouse campuses that hold thousands of servers to support AI, cloud computing, data storage and more.
- One major reason is hurricanes and their potential to disrupt the electric grid, the Times reported.
- Lawmakers are also seeking to regulate the industry, citing projects elsewhere that have used tons of water and electricity and driven up power costs for consumers.
Yes, but: "As we look at demand drivers and opportunities for where the industry can continue to grow, I do think Florida is in that conversation," Dan Dorio, vice president of state policy at the Data Center Coalition, told the Times.
- Among the coalition's members are tech giants Google, Microsoft, Amazon Web Services and Meta, as well as AI companies including OpenAI and Oracle.
- When looking at expansion, industry leaders look at factors like access to power, land and a skilled workforce, as well as what regulations are on the books, Dorio told the Times.
Zoom in: Senate Bill 484 would bar local governments from entering into nondisclosure agreements with the companies behind data center proposals and mandate that officials tell residents when a project is on the table.
- It would also require state regulators to ensure that data centers don't drive up power costs for residents and would bar water management districts from permitting projects that harm waterways.
- The bill has drawn bipartisan support and passed the Senate last month, per the Times.
- It still needs House approval before the end of session on March 13. Then it would head to Gov. Ron DeSantis, who has voiced support for regulating data centers.
Zoom out: Several large-scale data center projects are already on the horizon in Florida, including in Polk and Citrus counties.
- The Polk proposal would take up more than 1,100 acres in Fort Meade, a rural town of about 5,000 people south of Lakeland, Fox13 reported.
- In Citrus, a firm is seeking to rezone about 800 acres on the north end of the county to allow for industrial uses, including data centers — although a specific project hasn't yet been proposed, per the Citrus County Chronicle.
- The proposal heads to the Planning and Development Commission on Thursday.