Financier and television personality Kevin O’Leary is spearheading a colossal project, aiming to establish what could be the world’s largest artificial intelligence campus in Utah. Over recent weeks, the Canadian-American businessman has been meticulously planning this megaproject with a diverse group of stakeholders, including financiers, private landowners, military strategists, and state officials. The proposed site encompasses 40,000 acres of unincorporated land in Box Elder County, an area situated perilously close to the increasingly diminished Great Salt Lake. The vision behind this initiative is to forge a partnership with the military, establishing a sprawling 30-building "hyperscale" cluster, ostensibly as a matter of national security. O’Leary articulates this ambition by stating, "The country with the best AI is gonna win the wars," expressing a clear desire to outpace China’s advancements in artificial intelligence. If realized, this facility would dwarf Manhattan in size, spanning more than twice its area, and even surpass the 35,000 acres of Bryce Canyon National Park. For Utah, this translates to a landscape dotted with numerous data centers, several research facilities, and potentially, dedicated housing for its future workforce. The architects of the project are also focusing on aesthetic appeal, incorporating sleek glass panels and sophisticated internal office spaces to create what Paul Palandjian, CEO of O’Leary Digital, describes as the "sexiest, coolest construction posting in America."

However, this futuristic vision is encountering significant resistance from many residents of Box Elder County, who express a strong opposition to the development. While community resistance to data center construction is not a novel phenomenon in the United States, the opposition in Box Elder County has reached a potent level, suggesting that even in deeply conservative Utah, residents may demand substantial political change.

"Most people feel betrayed, and that’s bipartisan," stated Stephen Otterstrom, a long-time resident of Salt Lake City and a candidate for the Statehouse representing District 21. "I have not encountered a single person who’s said, ‘Wow, this is going to be a great thing for us,’ outside of public officials."

The sense of betrayal among Utahns extends beyond the mere addition of another data center to a state already dense with such facilities. A core grievance lies in the perceived lack of democratic deliberation and public input. O’Leary’s "Stratos Hyperscale Data Center" proposal reportedly began discussions with Governor Spencer Cox as early as January, with a public announcement following a month later. Despite this timeline, Box Elder residents were reportedly unaware of Stratos until late April, when the county commission held its inaugural public hearing. The process was characterized by its haste, with the state’s Military Installation Development Authority (MIDA), a partner in the Stratos project, pushing for immediate permit acquisition. County commissioners themselves expressed concerns about insufficient time to adequately assess the proposal. Locals vociferously advocated for greater public awareness and discussion, prompting the board to temporarily defer a decision on the data center resolution. However, pressure from Governor Cox, who asserted Utah’s "obligation" to facilitate data centers in the technological race against China, led the commissioners to revisit the issue. Thousands of Utahns submitted negative comments, and hundreds of Box Elder residents attended a commission meeting on May 4th, vocalizing their dissent. The meeting was subsequently moved to a virtual format, where the commissioners unanimously approved the AI partnership with MIDA.

"I keep an ear out on things, but like many Utahns, this data center came as a shock – not that it was proposed, but that it was all but approved from every level," shared Larry D. Curtis, a lifelong Salt Lake City resident and former local journalist. "To me, and to other people I’ve talked to, it felt like it was done in the dark: backroom deals and assurances made with no transparency or government accountability." The intensity of this local outrage has garnered national attention, with Hayley Williams, lead singer of the band Paramore, publicly criticizing O’Leary during a concert in Salt Lake City. Resistance efforts remain active, with a new grassroots organization, Box Elder Accountability Referendum, initiating a process to allow voters to challenge the commission’s approval. Although the county attorney initially rejected the referendum, organizers plan to appeal the ruling. Simultaneously, Utahns have inundated Governor Cox’s office with thousands of letters of opposition and have regularly gathered at the state Capitol, holding signs critical of O’Leary and Cox.

To be fair to the county commissioners, their options were somewhat limited. The land designated for Stratos is privately owned and currently unzoned, with the landowners having already granted their consent. One landowner reportedly told The Salt Lake Tribune that the project "is going to bring a lot of good-paying jobs" and expressed support if it’s necessary "to stay ahead of China."

Box Elder County Commissioner Lee Perry acknowledged the constraints, stating, "They can buy this property, build this data center, and I can do nothing to stop it." Consequently, Perry sought to mitigate potential negative impacts for Box Elder residents by negotiating for increased tax revenue and securing state and corporate coverage of construction costs. These measures aimed to alleviate concerns about potential downsides, such as increased utility costs, exacerbated water shortages, and noise and air pollution – issues that have prompted other Utah counties, like Iron County in the southern part of the state, to implement moratoriums on new data centers. Despite these efforts, some observers, like Curtis, predict that such decisions could have political repercussions for Perry and his colleagues, suggesting they may not be re-elected.

Despite these potential drawbacks, the Stratos project, also referred to as "Wonder Valley," is being presented to the public as a phased development, with each phase projected by the state to generate tens of millions of dollars in tax revenue and create thousands of jobs, predominantly in construction, maintenance, and IT, though many are expected to be temporary. The project’s energy demands are slated to be met by an existing gas pipeline and a new on-site solar farm. Proponents also claim that a portion of the water used for cooling the servers would be recirculated in a "closed-loop" system, with used water being returned to the Great Salt Lake. Governor Cox has championed this narrative, asserting at a press conference addressing Utah’s severe drought conditions that the data center "is going to use less water" than other significant water consumers in the region, such as agriculture and residential lawn care.

However, many Utahns remain skeptical. Otterstrom questions the projected number of permanent jobs, stating, "Just 2,000 permanent jobs isn’t much when you’re considering the size of that facility." He also highlights the ongoing crisis of the Great Salt Lake, emphasizing that "we haven’t even begun to stop the decline."

Curtis echoed these concerns, referencing the severe drought conditions experienced during the recent winter, which saw minimal precipitation and snowpack. "There’s never been a winter like this, where we had virtually no precipitation, very little snow, very little rain. We count on that snowpack from the mountains," he noted. He further emphasized the widespread awareness among Utahns regarding the shrinking Great Salt Lake and its profound impact on the state’s economy, climate, and even its ski resorts. The lake’s significance extends to vital industries like fishing and mineral extraction, and its desiccation poses environmental risks, including the potential for toxic dust to blanket populated areas and drive residents away.

"Our economic growth is in the Salt Lake Basin. If you look for high-paying jobs elsewhere within the state, there are not a lot of opportunities," Otterstrom observed. He expressed disappointment with Governor Cox’s current stance, stating, "In the past, one thing I could’ve agreed with Gov. Cox on was that we need to save the lake. Now this puts into question whether there is any sincerity in that."

Despite O’Leary’s efforts to discredit protesters by labeling them as "proxies" for the Chinese government and dismissing their arguments as "poo-poo," the sentiment among many Utah politicians has shifted. State Senator Scott Sandall, who initially supported Stratos, has now advocated for a legislative study on the potential environmental harms of data centers. Utah House Speaker Mike Schultz, whom O’Leary had identified as an early supporter, appears to have distanced himself from the project, particularly after reports emerged about his land ownership near the proposed site. Schultz has denied receiving early briefings from O’Leary, called for a comprehensive environmental review, and endorsed the now-stalled Box Elder Accountability Referendum.

Conversely, those who remain steadfast in their support for the project are facing considerable public backlash. J&J Nursery, owned by a state senator who supported the Stratos approval, is subject to calls for a boycott. Jason Chaffetz, a former Republican representative now seeking the governorship, is facing criticism for his admitted involvement with the consulting firm that brought the "Wonder Valley" project to Box Elder County. Senate President Stuart Adams, who chairs MIDA, is contending with a significant number of primary opponents. Curtis believes this opposition makes Adams vulnerable, despite his previous political insulation, especially given a recent scandal involving his granddaughter.

Notably, Governor Spencer Cox has somewhat moderated his stance, acknowledging that "people are right to push back" and committing to a thorough environmental impact review. He has also issued an executive order establishing a "higher bar for data center development in Utah," which mandates consideration of utility rates and environmental impacts. However, some critics argue these measures may be insufficient or too late. Curtis, a former Republican, expressed disillusionment with Cox’s political maneuvering, stating, "Gov. Cox, who once seemed like a reasonable moderate, has done everything state lawmakers have told him to. People can’t stand politicians who stand for nothing." He added that the sentiment of "Vote them all out" has been heard from both Democrats and Republicans regarding the data center issue, reflecting an unprecedented level of community engagement.

This popular resistance continues to manifest in various ways. Developers’ recent applications for water rights related to Stratos have been met with formal objections from ordinary Utahns, leading to the withdrawal of at least two such applications. Rallies at the Utah Capitol persist, and some groups are pursuing legal action against MIDA. This sustained opposition mirrors similar movements in other states, such as Virginia, Missouri, and Michigan, where data center development has faced significant public scrutiny. For Utahns, the stakes are particularly high, as they perceive a conflict between the pursuit of AI dominance and the preservation of their natural environment, quality of life, and long-term viability in the Salt Lake Basin.

"We have public programs, such as our education system, that go woefully underfunded year after year, and it’s not because there’s a lack of resources. It’s because there’s a lack of allocation," Otterstrom stated. "More often than not, those who have inexhaustible means, like the billionaires, they get what they want." This sentiment suggests that the data center battle may represent a critical turning point for a deeply frustrated and concerned populace in Utah.

Inadvertently, Kevin O’Leary may have ignited a new wave of political activism in Utah, a movement that could challenge the very lawmakers he partnered with for his latest venture.