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Fortune
Fortune
Ricardo Semler

Ricardo Semler on the prisoner's dilemma on data centers: trillions of dollars obsolete in just a few years

(Credit: Brandon Bell—Getty Images)

The conversation around data centers has turned into a nose-to-nose shouting match between politicians, NIMBYs, and tech billionaires. Ask about the concerns and you’ll get an earful about water consumption, farmland, rural electricity bills and tax abatements.

Every objection is reasonable, but each assumes the buildings these data centers will occupy will still be worth something in 2035. Once again, everyone is asking the wrong questions. Here’s the right one: “What happens to data centers and the towns they occupy when the structures outlive the infrastructure?”

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