Get all your news in one place.
100's of premium titles.
One app.
Start reading
Newslaundry
Newslaundry
Pooja Prasanna

The cost of India’s AI data centre boom

Let’s say an AI data centre is coming to your neighbourhood; it’s easy to feel like you’ve been chosen for the future.

Like the Avengers just set up Headquarters next door.

But then you look at the cost. Enormous amounts of electricity. Millions of litres of water. Hundreds of acres of land. And surprisingly few jobs.

New York, Texas and Virginia. These are all states in the US that are shutting down data centres. An estimate by Tech Radar says in just the first three months of 2026, $130 billion worth of data centre projects have been blocked or delayed across the US.

And a Reuters-Ipsos poll in June found something interesting. A majority of Americans did not oppose data centres in general. But 59 percent said they did not want one built within ten miles of their home.

In other words, people may like the idea of AI. They just don't necessarily want the infrastructure in their backyard.

And here is the strange part. While other countries and communities are asking questions, India is competing to attract more data centres to the extent that the government is inviting companies to set up data centres in ecologically sensitive Great Nicobar and Little Andaman.

In Andhra Pradesh's Visakhapatnam alone, proposed data centres add up to around 9 gigawatts. So why is India inviting this boom? What does it mean for our water, electricity and land?

And when people call this a new form of colonialism, is that just rhetoric, or is there something more to the argument?

Let me explain.

Like Pooja's LME? Support the show:

https://rzp.io/rzp/support-lme

Avail the 1947 offer: https://pages.razorpay.com/tnm-1947

Like our journalism? Become a subscriber:

https://www.thenewsminute.com/subscription

Follow our WhatsApp channel:

https://whatsapp.com/channel/0029VbDIedz2phHLQZTyNj1W

Produced by Megha Mukundan, Script by Lakshmi Priya, Jahnavi, Edited by Nikhil Sekhar, and Camera by Ajay R.

Newslaundry is a reader-supported, ad-free, independent news outlet based out of New Delhi. Support their journalism, here.

Sign up to read this article
Read news from 100's of titles, curated specifically for you.
Already a member? Sign in here
Related Stories
Top stories on inkl right now
One subscription that gives you access to news from hundreds of sites
Already a member? Sign in here
Our Picks
Fourteen days free
Download the app
One app. One membership.
100+ trusted global sources.