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Amazon Web Services CEO Matt Garman issued a warning to communities opposing data centers, stating that their actions could cause irreversible damage to the U.S. economy and national security. In a 3000-word post dated October 2, Garman compared the economic impact of artificial intelligence to modern transportation and the Internet. He argued that countries leading in AI will shape it for the best outcomes, noting that a lapse in focus could put the U.S. behind permanently.
Garman highlighted that $68 billion in data center projects were blocked in the second quarter of 2026 alone. He warned that if 100 proposed moratoriums across the country are enacted, the consequences would last generations. Unlike transportation infrastructure, Garman noted that data center buildouts are funded by private firms rather than taxpayer money. He dismissed concerns about water usage, claiming data centers use very little relative to other industries, citing a figure of 0.075% compared to lawn and garden watering.
Regarding energy costs, Garman described the claim that data centers drive up electricity bills as misleading scapegoating. He argued that expanding power infrastructure funded by the private sector should eventually lead to flat or lower rates for residents. This contrasts with reports claiming a 76% electricity price spike and a U.S. House bill rejected in the Senate regarding grid upgrades. Garman also stated that claims about pollution from backup diesel generators are myths, though critics point to concerns over gas turbines used at facilities like Elon Musk’s Colossus data center.
Finally, Garman asserted that communities do benefit from data centers through tax revenue, jobs, and education programs. He cited examples including Microsoft’s $1 billion pledge for local infrastructure and Amazon’s estimated $3 billion in taxes to St. Joseph County, Indiana. Through its "Built Together" initiative, Amazon plans to add more than $1 billion over the next five years for community priorities. Garman suggested that misinformation about data centers is being intentionally spread by foreign nations to slow down U.S. progress.
Source: Tom’s Hardware • Etiido Uko • October 5, 2026