America's expanding data center industry and manufacturing resurgence are creating new opportunities for economic growth — and putting greater pressure on the nation's water infrastructure.

That was the focus of an Axios Expert Voices roundtable sponsored by Schneider Electric on September 23 in New York City during Climate Week. Moderated by Axios journalists Ben Geman and Amy Harder, the discussion brought together business leaders, infrastructure experts and sustainability professionals to examine how technology, investment and collaboration can improve water resilience.

The story: Water availability is becoming a critical factor in where businesses invest, how communities expand and whether industrial operations can remain competitive.

• Participants emphasized that aging infrastructure, population growth and increasing industrial demand are making water management an economic priority.

Why it's important: New factories and data centers are increasing pressure on communities to balance industrial development with reliable water access for residents.

• "Although AI is the headline, it's not the full story," said Andre Marino, senior vice president of industrial and process automation at Schneider Electric North America.

Marino explained that water availability directly affects industrial productivity, operating costs and business continuity.

Modernizing existing infrastructure

The challenge: Many water utilities rely on aging equipment and disconnected systems, limiting their ability to monitor consumption, identify leaks and respond quickly to disruptions.

• Experts discussed how automation, real-time monitoring and AI can help municipalities and manufacturers improve efficiency without replacing entire infrastructure systems.

Marino highlighted Conroe, Texas, where rapid population growth increased demand on the city's water infrastructure.

• The city expanded from four to 19 water and wastewater facilities, deploying Schneider Electric's open, software-defined automation technology.
• According to Schneider Electric, daily data collection dropped from five hours to minutes and improved recovery time by 80%.

Here's how: Marino emphasized the importance of connecting previously isolated systems before introducing AI.

• "AI is only possible if you have data available to train your models," Marino said.

He explained that connecting older and newer systems allows operators to monitor water pressure, detect leaks and better anticipate changes in demand.

An example: Schneider Electric's Smart Factory in Lexington, Kentucky, reduced water consumption by 20% through connected monitoring and predictive analytics, according to the company.

Marino argued that improving efficiency should receive as much attention as expanding water supply.

• "Water and energy, they go hand in hand," he said.

Unlocking investment in water infrastructure

Here's the deal: Technology alone cannot modernize America's water systems. Communities also need financing, technical expertise and partners capable of moving projects forward.

Roundtable participants discussed how limited municipal budgets and complex approval processes can delay critical upgrades.

The strategy: Michele Hix, vice president of strategic customers at Schneider Electric North America, highlighted the company's Accelerating Resilient Infrastructure initiative.

• "We're seeing so many cities so constrained for the funding," Hix said. "They need to modernize."

The initiative brings together financing partners, developers and Schneider Electric as a technology partner. Hix said the collaboration has unlocked access to $7.5 billion in funding, with Cadillac, Michigan, serving as an early example.

• "It takes a lot of effort, and at scale is where we need to go with it," Hix said. "That's been exciting to come to these cities and say we have money for you, and willing partners."

Why it's important: By connecting municipalities with financing and technical expertise, public-private partnerships can help communities overcome barriers to infrastructure modernization while supporting long-term economic growth.

Rethinking AI's water demands

The details: AI infrastructure is drawing greater scrutiny as data centers expand into communities with varying water availability.

Participants emphasized that water requirements differ significantly by geography, cooling technology and local infrastructure.

Steven Carlini, chief advocate for AI and data centers at Schneider Electric, highlighted the importance of measuring those differences.

• "You can't prove what you don't measure," Carlini said.

The proof: Carlini described Schneider Electric's modeling of 100-megawatt data centers across different climates and cooling configurations.

The analysis compares air-cooled and liquid-cooled systems to better understand how technology and location affect water consumption.

Carlini also discussed emerging heat-reuse technologies that could recover energy from data center operations.

The road ahead

Looking ahead: Business leaders and sustainability professionals emphasized that water resilience will require more transparent consumption data, investment in modernization and closer collaboration between businesses and communities.

For Marino, the priority is changing how industries approach existing resources.

• "People will need to be way better in driving efficiency rather than just taking water for granted," he said.

The takeaway: As America's industrial economy expands, reliable water infrastructure will become increasingly important to long-term prosperity. Improving efficiency and investing in resilient systems can help communities attract new industries while protecting essential resources.

Explore Schneider Electric's approach to smarter water management.