The People of Utah vs. Kevin O’Leary

In the remote Utah desert, the world’s largest data center project is being fast-tracked in secret, avoiding the scrutiny of the people who live there.

Kevin O’Leary, famously known as “Mr. Wonderful” from Shark Tank, was brought in to hype the 40,000-acre development, which he named “Wonder Valley” after himself.

But O’Leary’s attention-seeking has only popularized and energized the backlash among Utahns who want nothing to do with data centers — and they’re fighting back.

O n On the morning of May 11th, the celebrity investor Kevin O’Leary appeared on Fox Business and announced that he was under attack by Chinese agents.

For weeks, he had been going on TV and posting online to tout his project, called Wonder Valley, after his nickname from the reality show Shark Tank , Mr. Wonderful. It was going to be enormous, “the largest data center in the world,” sitting on 40,000 acres north of Great Salt Lake in rural Box Elder County, Utah. A dedicated gas power plant would tap into an interstate pipeline and generate 9 gigawatts of electricity, more than double the average consumption of the entire state. The project was coming so fast, thanks to Utah’s governor and legislative leaders, O’Leary said, that “it shows China and the rest of the world we aren’t messing around.”

But now, wearing a black baseball cap printed with the words “Utah National Security,” he told Maria Bartiromo that he had noticed something baffling. Ever since the three county commissioners unanimously approved his data center the week before, O’Leary had observed a sudden increase in people mad at him online. For this he could see only one explanation.

“Who would want us to stop building our electrical grid? Who would want to stop us from having compute capacity to develop AI? Which adversary would want that?” he asked Bartiromo. “There’s only one: It’s China.”

“I got my guys to go a deep dig into the IP addresses,” he told Bartiromo. Brandishing a sheet of paper, he began to read the names of people who had — or he believed to be somehow connected to people who had — criticized his data center online.

“Come out, come out, wherever you are and let’s shine the light of transparency on what you’re doing,” he exclaimed, looking up from his paper to address the camera and inviting them to clear their names. “It’s the CPP [ sic ] at work here. There’s no question about it.”

Six weeks later, Bartiromo closed out a segment by pulling up a note O’Leary had posted the day before, white text on a black background: “Recently I appeared on various news programs and would like to clarify that I have no evidence that Alliance for a Better Utah, Elevate Strategies, Gabrielle Finlayson, Taylor Knuth or Josh Kanter are funded by China or the Chinese Communist Party.”

“How the heck would anybody think you could build something out here?”

Nor was Fox News Media aware of any evidence that they are funded or directed by China or the Chinese Communist Party, Bartiromo said. “Fox News Media apologizes for the error.”

O’Leary’s “clarification” was an abrupt shift in tone. From the moment he announced the project he had proclaimed it as all but inevitable: blessed by state leadership, approved unanimously by local officials, demanded by national security, and opposed only by sinister outside forces. Now came a quiet retreat. Less than three weeks later, O’Leary and Fox were sued for defamation by Alliance for a Better Utah, Elevate Strategies, Gabrielle Finlayson, and Joshua Kanter. O’Leary and Fox moved to have the suit dismissed in late September.

Over the past five months, I spoke with more than two dozen local officials, residents, and others involved with the project, including the CEO and cofounder of O’Leary Digital, Paul Palandjian, who, after describing himself as “an open kimono” of transparency, responded to emailed questions and requests to speak with O’Leary with a message from a lawyer threatening legal action over any false statements. These interviews, along with thousands of pages of emails and text messages obtained through public records requests, show a project that moved with the urgency of an emergency. Everyone was racing — the developers against other speculators, O’Leary against rival projects chasing the same few tenants, Utah against other states, the United States against China — right up until they slammed into the residents of Box Elder County they had neglected to tell.

The very county commissioners whose unanimous approval O’Leary touted on Fox were officially told the project was coming only five weeks before they were expected to vote on it. Before then, all they had heard were rumors.

To Lee Perry, one of the three county commissioners, the rumors sounded farfetched. But in early March, he drove north out of Brigham City, Utah, past the bird refuge, past the Northrop Grumman test range, past miles of white salt flats and pale grass, to a fork in the road where Tim Munns waited in his truck.

For weeks, Munns had been texting and calling Perry and the two other commissioners to say that someone was going around talking to landowners about buying property for a data center near his ranch in Hansel Valley.

Perry was skeptical. There was nothing out there: no power, no water, only a few roads, mostly gravel, lined with tires mounted on posts and spray-painted with “keep out.” Hardly anyone lived there but Munns. He had bought his place 50 years ago because no one else wanted it. All the good pasture was already locked away in generational farms whose heirs now lived elsewhere. Now he lived there with his son Bud and Bud’s family, and he appreciated the peace and quiet.

So Munns had not been pleased to hear the data center rumors, and he had not been happy to get the call himself from one of the developers several weeks ago. If you want to talk to me, it’ll be at my kitchen table with my sons, looking me straight in the eye , he recalls telling the man. At 4:30 the next morning, Munns drove to Salt Lake City to try to get some answers. But no one at the Rural Caucus Breakfast, where people from the Department of Natural Resources and other agencies met each Friday, seemed to know what he was talking about. He contacted his state senator, Scott Sandall, and Utah House Speaker Mike Schultz. Either they didn’t know anything or they weren’t telling him.

Perry told Munns that he hadn’t heard anything about a data center either. Neither had the other two county commissioners. Perry had known Munns a long time. When Perry was serving in the state legislature, Munns had spoken with him about stopping a landfill being built near his ranch. The battle had lasted years, but in the end the landfill was stopped. Now Munns wanted Perry’s help stopping the data center. The difference was that, unlike the landfill, it wasn’t clear there was anything to stop. No one had filed building permits, no one had spoken to the planning and zoning people. Perry had heard all manner of proposals for Hansel Valley over the years: solar farms, movie studios, amusement parks. They were typically presaged by phone calls and meetings. Most never became more than that.

“Everything is about speed right now. Everything.”

But Munns was convinced something big was coming. He believed one of the landowners in the valley had already signed documents. There were rumors that the state government was involved somehow, maybe the military too. Perry was preparing to run for reelection, and the people outside Brigham City always felt ignored, so it seemed worth the drive to appease him.

The other two commissioners apparently felt similarly. They’ll be along shortly, Munns told Perry. He had asked them to come too. Then we can all hop in my truck and go see what the rumor mill is talking about, Munns said.

As they drove over the ridge, Perry saw a vast expanse of sagebrush and alkaline pools, the white shimmering rim of the Great Salt Lake just visible on the horizon, if he squinted.

“It was just kind of a desert,” Perry says. “How the heck would anybody think you could build something out here?”

A few days after Perry’s visit to the ranch, a resident asked him if he’d seen a strange announcement. It was a post on PR Newswire from a few weeks earlier saying that a “large-scale powered compute campus” was planned for “the Golden Spike District of Box Elder County, Utah,” referring to the stretch of land south of Munns’ ranch where the two ends of the first transcontinental railroad were joined in 1869. The campus was a joint venture between “West GenCo LLC” and O’Leary Digital. Combined with another O’Leary project in Canada, it would be the “largest integrated powered compute infrastructure development currently underway globally.”

“We recognize the leadership demonstrated by Governor Spencer J. Cox, Senate President J. Stuart Adams, and Utah’s federal delegation,” O’Leary wrote in the announcement. “Projects of this magnitude require disciplined execution and close collaboration with state and local leadership.”

For Perry, the document raised more questions than it answered. Such as: What local leadership? No one had spoken to him or his fellow commissioners. And also: the Shark Tank guy?

This year, Goldman Sachs estimates that $580 billion will be invested in AI infrastructure in the United States, much of it tied to the enormous data centers being built by Google, Amazon, Meta, Microsoft, Oracle, and others. Superlatives have fallen by the wayside. This is more than federal, state, and local governments are on pace to spend this year building public infrastructure, nearly twice what the US spent going to the Moon , adjusted for inflation, and almost as much as it cost to build the entire interstate highway system over 40 years. At nearly 2 percent of GDP, the AI buildout rivals the railroad boom of the late 19th century, a construction frenzy that transformed the nation, triggered multiple financial crashes, laid tracks to nowhere, created a new politics of anti-monopoly populism, and established a new oligarchy.

Data centers have existed for decades, but those of the AI boom are orders of magnitude larger than the boxy structures built to store our emails and videos. In 2019, a notably large data center might have been the size of an Ikea and consumed as much electricity as 50,000 US homes; it would probably have been located near others of its kind, clustered near electricity and fiber connections in a place like “Data Center Alley” in Loudoun County, Virginia . A modern AI data center like Meta’s Hyperion, for comparison, stands alone on 5 square miles of rural Richland Parish, Louisiana. It will be powered by 10 new gas power plants with 7.5 gigawatts of generating capacity, more than the power demand of all the 250-plus data centers in Data Center Alley combined. Meta CEO Mark Zuckerberg illustrated its size by posting an animation of a Facebook-blue building crushing Manhattan .

While size is important, speed is paramount. “Everything is about speed right now,” said Reyk Knuhtsen, an analyst at the consulting firm SemiAnalysis. “Everything.”

AI, as every executive says, is a race. Like all arms races, this one is driven more by fear than hope. OpenAI’s founders were afraid that some less responsible company might build powerful AI and that it might, per a famous thought experiment, do something like consume all the resources humanity required to survive in the single-minded pursuit of a poorly defined goal. After OpenAI launched ChatGPT in 2022, it was fear that OpenAI might build it first that prompted every other major tech company to join the race. What winning looks like may be a bit vague, but everyone is clear that losing would be existential, either for human civilization or their particular company. And because AI improves with more computing power, whoever builds the most data centers wins.

It would not be the first time speculators have come to this part of Utah seeking wealth and promising a new technological future

“If we end up misspending a couple of hundred billion dollars, I think that that is going to be very unfortunate, obviously, but what I’d say is, I actually think the risk is higher on the other side, if you build too slowly,” Zuckerberg said last September . This year the company cut construction time by putting billions of dollars’ worth of servers inside tents .

Lately, this corporate arms race has become an actual arms race, with executives and government officials invoking the urgency of staying ahead of China, which had approximately half the compute capacity of Microsoft alone at the end of last year, according to Epoch AI, but is building more. Citing national security, the Trump administration has cut environmental regulations , promised to fast-track permitting, and moved to end the requirement that the public be notified before air pollution permits are issued and construction starts. In June, the Justice Department asked a judge to dismiss an air pollution lawsuit against Elon Musk’s Colossus 2 data center , arguing that the facility was needed by the military.

Because the most profitable companies in history will pay more for a gigawatt of compute tomorrow than a gigawatt of compute next year, there is money to be made in getting them what they need as fast as possible. Even before the boom, it could take a year or more to navigate the process of connecting something as big as a data center to the electric grid, so speculators started filing requests with multiple utilities to see which came through first, jamming queues further. Rather than wait, developers started building their own power plants on-site, almost always gas, because gas offers a faster route to 24-hour power than nuclear or renewables. A report published in July by the Environmental Integrity Project counted 71 proposed gas plants in the US dedicated to serving data centers. Now large gas turbines are back-ordered for years.

“They said ‘Shh, don’t tell anybody, don’t tell anybody.’”

In addition to land and power, developers need building permits, air permits, and sometimes rezoning. Never a fast process in the best of times, it has become more fraught as local opposition has grown. At least 75 projects were blocked or delayed in the first quarter of the year. Hyperscalers will pay a premium for land that is permitted and shovel-ready, sometimes 20 times what the land was worth before. They are paying for speed.

The business of putting these ingredients together is known as “powered land assemblage.” Commercial real estate firms and dedicated companies like Cloverleaf Infrastructure are searching the country for suitable plots and power. So are countless independent operators , sometimes called “data center wildcatters,” freelance speculators who might look at acres of unzoned farmland north of Great Salt Lake and see an opportunity.

It would not be the first time speculators have come to this part of Utah seeking wealth and promising a new technological future. A few miles south of Hansel Valley, two locomotives face each other across the final stretch of the transcontinental railroad alluded to in O’Leary’s press release. It is a monument to the era’s industrial achievement and to its frequent wasteful inefficiencies. With the companies paid by the mile and racing to claim more territory than their rival, their crews actually met much earlier and kept going, grading parallel roadbeds past each other for hundreds of miles until Congress ordered them to stop.

The man who called Munns inquiring about land was Austin Pritchett, an entrepreneur based in Alpine, Utah. Pritchett earned an MBA from Cornell in 2016, according to his LinkedIn, and practices a form of real estate development that finds profit in getting raw land zoned and permitted for construction. Municipal records illustrate one version of the model: Partner with owners of farmland near an expanding city, line up a homebuilder willing to buy if the land can be developed, and seek the local approvals needed for construction. The process can take years and might never pay off, but it is a way to profit off real estate without needing to purchase land outright. Pritchett also sells online classes teaching his approach for $25,000 a course.

“Builders need entitled land,” a page for one of Pritchett’s workshops reads. “They don’t want to spend 12–18 months navigating zoning boards. Hand them a permitted site and they’ll pay a premium typically 2–3x what the raw land cost.” His previous publicly documented projects were mostly suburban housing, but last October, he added a new lesson: “New Portal and Data Center Land (Current Gold Rush).”

By November 2025, Pritchett was approaching landowners in Hansel Valley. He was very polite, according to a landowner he met with at the time, LuAnn Adams. “They said, ‘Shh, don’t tell anybody, don’t tell anybody,’” she later said at a county meeting. “So I kept it to myself for a little while.”

Pritchett later said he was drawn to Hansel Valley because much of the land was owned by only a few people, making it straightforward to acquire. But the most enticing thing it had to offer was the 42-inch-diameter gas pipeline running through it, offering a fast route to abundant power.

A data center would be a far bigger project than anything Pritchett had handled before. He contacted a fellow Alpine resident, former Congressman Jason Chaffetz. Chaffetz, a Fox News contributor, texted O’Leary, who he knew from appearing on television together. O’Leary had passed on Chaffetz’s past pitches, Chaffetz said, but this one piqued his interest.

“I like interacting with Kevin because he responds right away,” Chaffetz says. He introduced O’Leary to Pritchett and will be compensated if the project “comes together,” he said, though the details of the arrangement are bound by an NDA.

On December 16th, a lobbyist emailed the governor’s scheduler to say that O’Leary would be in town in a few weeks. “KO from Shark Tank would like to meet with the Gov on Jan 8 to discuss data centers in UT,” the lobbyist wrote.

“Austin told us, day one, it was the biggest single project in the history of mankind.”

Gov. Spencer Cox and the Utah legislature had been working to make the state attractive to data centers, which are an appealing source of tax revenue for state governments. Utah already exempted data centers from paying sales tax on certain equipment, and in 2024 Cox launched “Operation Gigawatt,” an effort to double the state’s electricity generation, in part to support all the data center developers who had expressed interest in coming to Utah. Last year, the legislature passed a law that allows data centers to build on-site power plants.

O’Leary arrived at the Statehouse on the morning of January 8th and had his photo taken sitting behind the governor’s desk . The next day, he appeared on NewsNation and discussed meeting Cox and Senate President J. Stuart Adams. Adams, seen by many as the most powerful political figure in the state, was also the chairman of the Military Installation Development Authority (MIDA), a state development authority created to facilitate projects connected to military installations. “They rolled out the red carpet for my entire team,” O’Leary said. “They’re really going to accelerate policy in terms of getting permits.”

When Pritchett came out to the Munns’ property two months later, he described a project that already sounded far along, according to Tim Munns and his son, Bud. The state was involved. Pritchett said he already had the necessary land and water rights under contract. He just wanted a bit of the Munns’ property on the margin, and if he didn’t get it, the Munnses understood, he had other options.

“He wasn’t pushy,” Bud says. “He just flat laid out the facts and said, ‘Now you guys decide what you want to do.’”

As for what was coming, Bud couldn’t wrap his head around it. He didn’t know what MIDA was, though he serves in the Air National Guard and the idea that the data center might have a military use appealed to him. He’d watched Shark Tank a few times but had to Google which one Kevin O’Leary was. As for what the valley would look like after the “biggest data center in the world” landed in it, he had no idea. “Anything of the magnitude of what he described going down there was a little bit of a shock,” Bud says.

Tim told the commissioners, and with the project sounding increasingly real, they redoubled their efforts to figure out what was going on. One of them called their state senator, Scott Sandall, who said he would ask around. Soon afterward, Commissioner Perry received a text from Paul Morris, then the executive director of MIDA, saying that he’d gotten his number from the senator and that he would be at the county courthouse the next morning to “provide an update.”

“You have no idea what you’ve started.”

Morris, along with the developer, Pritchett, arrived at the Box Elder County Courthouse in Brigham City on the morning of March 25th and informed the commissioners that their county would be getting an AI data center powered by a 9-gigawatt gas plant. Morris said that 40,000 acres had been secured for the project and tax subsidies had already been negotiated — the developers would pay no property taxes on its servers, get 80 percent of their property taxes on buildings refunded, and pay a highly reduced energy tax.

What they needed now was for the commissioners to formally approve the “MIDA project area,” an “irrevocable” decision, according to the MIDA statute, that would put the agency in charge of all land use decisions from that point onward, essentially making the agency its own municipality.

“We kind of ripped into him for not talking to us,” Perry says.

Morris and Pritchett apologized for not telling the commissioners earlier, Perry and Tyler Vincent, the commission chair, said. Actually, the commissioners were told, a lobbyist had said that he had already spoken to the commissioners and that they were on board. When the commissioners demanded to know who this lobbyist was, Morris refused to name him.

But it was too late to slow down. Morris told the commissioners that if they didn’t sign the county consent before the end of April, financing for the deal would fall apart.

Anyway, the data center would be good for Box Elder, Morris tried to convince them. Even after the tax subsidies, Box Elder would still get tens of millions in revenue.

“You have no idea what you’ve started,” Vincent recalls telling Morris. “You just screwed these two commissioners, they won’t win their races because of what you’ve done,” he said, pointing to Perry and the commissioner Boyd Bingham, who faced primaries in June.

The commissioners were still dealing with the fallout from “the fairground debacle,” the weeks of outrage and apologies resulting from its decision to end subsidized horse stall rentals at the county fairground without sufficient public input. “What you’ve just done is going to make that experience look like a walk in the park.”

“I’ve never seen anything go this fast in all the time I’ve been in politics. You can’t even build a house that fast.”

Perry didn’t believe MIDA’s deadline. Born and raised in Box Elder, Perry had joined the highway patrol and served on the governor’s security detail in the early 1990s. Organizing for a pay raise opened his eyes to what politics could accomplish, and after his local representative failed to show up for an event he organized or respond to repeated emails, he ran against him and won. He served five terms and retired to work in the private sector but got recruited to run for county commissioner instead. Even with all that experience, the speed of the data center project was new.

“I’ve never seen anything go this fast in all the time I’ve been in politics,” Perry said. “You can’t even build a house that fast.”

But MIDA moved quickly, emailing the commissioners an agreement to be approved on April 15th, then PR material for after their vote. The commissioners had some complaints about the language. “From what we’ve seen, Kevin O’Leary, the investor, has also been using similar messaging about the county ‘inviting’ the project to come. Which is just the wrong word,” a county attorney wrote.

Because the land was unzoned and the developers were building their own power and water systems, the commissioners’ options were limited. They could refuse to consent to MIDA’s project area, but they worried that the developers might sue. In his research, Perry came across the case of Saline Township in Michigan , where the town board rejected a rezoning request for an OpenAI data center. The developer sued, alleging exclusionary zoning. The town settled, and the data center is being built anyway.

Utah real estate entrepreneur Austin Pritchett begins approaching Box Elder County landowners about a data center project. Former Congressman Jason Chaffetz introduces him to celebrity investor Kevin O’Leary.

O’Leary’s team meets with Gov. Spencer Cox and later meets with state Senate President Stuart Adams, who chaired MIDA.

The developers announce “Wonder Valley Utah,” a proposed 7.5-gigawatt data center campus, in a press release that attracts little public attention.

Landowners alert county commissioners to the project. MIDA formally briefs the commissioners on March 25th and tells them approval is needed by the end of April or the deal could collapse.

MIDA sends the county an agreement to approve, along with a press release written for the commissioners. The first public-meeting agenda refers only to an “interlocal agreement,” without mentioning a data center; commissioners meet but postpone the vote.

MIDA’s board approves the 40,000-acre project area before the county commissioners consent. O’Leary describes the project as part of a “race” with China. Word about the project begins to spread in Box Elder County.

At a packed county meeting, MIDA cannot say how much of the project would serve the military, and major engineering studies remain unfinished. Commissioners postpone the vote until May 4th.

More than 1,000 people attend the final meeting. Commissioners allow no public comment, leave the stage amid protests, and approve the project from a back room.

Residents organize a referendum campaign. The county rejects their applications, prompting a lawsuit. The developer also withdraws a contested water rights application while planning to refile it later.

Adams and two county commissioners who support the project lose their Republican primaries. O’Leary and two Fox hosts retract claims that protesters and project opponents were working for China; O’Leary and Fox are later sued for defamation.

The project has been downsized and remains stalled. No tenant has been announced, no land has been transferred to the developers, and several central agreements remain unsigned.

If a data center was coming, the commissioners felt that the developers should pay for the cost of the additional services it would require, an amount the county estimated to be $16.2 million. The county, Morris, and the developers haggled over the terms as the April 15th target passed and moved to April 22nd, the commission’s next scheduled meeting.

A public notice was issued for the vote. It appeared on the county’s upcoming agenda as item 9A, “Interlocal Agreement #26-15 Between Box Elder County and the Military Installation Development Authority (MIDA) Relating to the Stratos Project Area,” using a project name Morris said MIDA liked because it was Greek for “army.” There was no mention of a data center.

Anticipating blowback, Perry texted Pritchett to make sure that the landowners would show up to publicly say they were in favor of the project.

But with the contract still in flux, the commissioners postponed voting to a later meeting — “If you would like to speak to that, please fill a form out,” Vincent said — and the meeting instead became Stratos’ quiet debut. It was a small, subdued event. Shane Holmgren, the largest landowner and the first approached by Pritchett, was “100 percent supportive of this.” Others were less enthusiastic, worrying about traffic or water use. When Vincent asked for a show of hands for who was in favor of the project, someone shouted out, “What about those of us in the impact area who are undecided because we need more information?”

“The only one that enjoys change is a baby,” Tim Munns said, philosophically, at the meeting. After days of thinking and discussions with his family, he had decided to sell. It had been the military connection that convinced him. That and the project’s inevitability, he said.

“If it’s going to happen and we’re going to watch it happen in this valley, then we’re going to be at the table instead of being on the menu,” he later tells me.

Two days later, on Friday morning, MIDA held its own meeting to approve the project area. The paperwork wasn’t quite finished, Morris said, but it was 95 or 98 percent of the way there. Nor had the county itself given its consent. Morris said the commissioners would meet at 5 that afternoon — “the fastest they could put it together” — though the commissioners would again delay.

MIDA’s event was a more celebratory affair, consisting mostly of Morris and other MIDA officials marveling at the speed at which they had moved. O’Leary appeared on a video call, taking a seat before a photo of skyscrapers.

“Forty thousand acres, I don’t think there’s a bigger facility in the world than this.”

“What’s extraordinary about Utah is I heard about this opportunity just five months ago. That’s it. And here we are on the cusp of doing something absolutely phenomenal together. That’s leadership,” he said, thanking Cox, House Speaker Schultz, MIDA, and Adams, the Senate president who was also the chairman of the MIDA board. It was important to move fast, O’Leary said, because it was a race, not just with China, but with other data center projects, to win tenants. “But we have tenants knocking on our door,” O’Leary said. “My job is going to tell the world what we’ve done here.”

This was something O’Leary was well suited to do. He had spent two decades turning himself into one of the business world’s most visible promoters. O’Leary came up through educational software in the 1990s, acquiring rivals like The Learning Company, which he sold to Mattel in 1999 for roughly $4 billion. It was a disaster for Mattel, which was sued along with O’Leary for misrepresenting The Learning Company’s financial state. (Mattel settled.) Four years later, O’Leary cold-called an executive at a Canadian business channel with the pitch that he was good on TV, according to a 2012 profile by The Globe and Mail ’s Report on Business . He got a role as a brash conservative news commentator, then as a judge on the CBC reality show Dragons’ Den , where he dispensed brutally frank appraisals of aspiring entrepreneurs’ business plans. He then reprised the role for the American version, Shark Tank . Last year, he played the villainous tycoon in Marty Supreme . An avatar of unapologetic wealth onscreen and off, he appeared on the Oscars red carpet wearing a $30 million basketball card encased in diamonds on a chain around his neck with matching Rolex and Cartier watches, one on each wrist.

He has parlayed his fame into several businesses, including O’Leary Ventures, O’Shares Investments, and O’Leary Fine Wines. In 2021, he took stakes in FTX in a deal to become a “spokesperson and ambassador” for the company, which collapsed the following year and whose CEO is currently in prison for fraud. His first foray into data centers came in 2022, when he invested in and promoted a bitcoin miner called Bitzero. (After posting net losses, the company recently repositioned itself as an AI compute provider.) In 2024, O’Leary announced a data center of his own, under his brand O’Leary Digital, in Greenview, Alberta. It would be enormous, according to the announcement: 7,000 acres, powered by a 7.5GW gas plant, later upgraded to 9GW .

“Introducing Wonder Valley: The Largest AI Compute Data Center Park on Earth,” he posted on X at the time, embedding a video of an eagle flying through renderings of a lush and futuristic campus.

“Wonder Valley Utah” would apparently also be the world’s largest. “Forty thousand acres, I don’t think there’s a bigger facility in the world than this,” O’Leary said on Fox and Friends three days after the MIDA vote. “We’re going to build the largest data center in the world here,” he said hours later in another Fox appearance. Then he posted the clip to his 4 million LinkedIn followers under a red banner that read, “WE’RE BUILDING THE WORLD’S LARGEST DATA CENTER IN UTAH.”

O’Leary’s hyperbole can be best understood as a pitch to the hyperscale tech companies about what the data center could be if they were to sign on as tenants, the investor Paul Kedrosky says. These investors don’t care whether AI turns out to be profitable. What they care about is that a very profitable tech company is going to occupy the data center and be contractually obligated to pay them a fixed return no matter how AI turns out. “It could be hide-and-seek competitions going on inside of these things,” Kedrosky says. “What they care about is how pristine the credit is of the hyperscalers involved.”

Mixed in with real construction projects are lots of paper data centers, speculative ventures announced as if they were shovel-ready

For developers, this presents what Palandjian, the CEO of O’Leary Digital, calls a “chicken-and-egg problem.” In order to finance construction of a data center, you need an anchor tenant, but all tenants care about is speed, so the best way to attract one is to get everything aside from the actual data center — land, power, permitting — ready to go. “If you’re talking to a hyperscaler today, they’ll say, ‘Don’t even talk to me unless you can show me a pathway to potentially lighting up my first data centers by mid 2028,’” Palandjian says.

This dynamic is part of the reason there are so many “world’s largest data centers,” more even than O’Leary’s two. Mixed in with real construction projects are paper data centers, speculative ventures specced out to their maximum theoretical capacity and announced as if they were shovel-ready with the aim of catching the attention of a hyperscale tenant. Many amount to nothing or very little. It’s been nearly two years since O’Leary announced his first Wonder Valley, in Alberta. There is still no publicly announced tenant, and according to the Greenview planning department, no permit applications have been filed.

The result is a structural dissonance in the data center buildout, where projects are pitched to a small group of tech titans in grandiose terms that to people who live near these projects sound maximally nightmarish. O’Leary brought a showman’s flair to the job.

“Kevin O’Leary isn’t pitching Utahns when he says, ‘We have 40,000 acres. It’s going to be the biggest data center ever,’” said Clint Betts, CEO of the Utah tech industry group Silicon Slopes. “He’s not even thinking about Utahns. He’s pitching potential tenants. And I think that’s what pisses Utahns off.”

Whether O’Leary’s pitch reached its intended audience was unclear. It unquestionably reached Utahns.

Brenna Williams heard about the data center at the grocery store. “You couldn’t walk down the hall someplace or go to McDonald’s or go out for coffee. Everybody was talking about it, and nobody was happy.”

Williams was particularly unhappy. In November, Joule Capital Partners had broken ground on a 4,000-acre data center campus 9 miles from her second home in western Utah, where she had planned to retire. A month later, work began nearby on another data center, this one 10GW and advertised as the world’s largest. Now there was a third data center, this one near her actual home in Box Elder, where she had raised two kids stargazing and rock hunting in the desert, also calling itself the world’s largest.

“We have to report on our neighbors if they’re watering at the wrong times or on the wrong days. But we have water to cool a power plant?”

Williams, a former government econometrician and college instructor, speaks methodically in a calm monotone as she enumerates the many reasons why the data center “doesn’t make sense” — a refrain. First among them is the water, an acutely sensitive issue in Utah in part thanks to Gov. Cox himself, who has declared repeated drought emergencies and urged residents to take shorter showers and cut back on watering their lawns. There is no more potent symbol of the state’s water crisis than the Great Salt Lake, which has been shrinking for years, exposing heavy metals on its lakebed that become airborne dust. Now here came a data center on its northern shore, or where its northern shore would have been if it hadn’t receded several miles.

“We have to report on our neighbors if they’re watering at the wrong times or on the wrong days,” Williams says. (There’s a hotline.) “But we have water to cool a power plant and cool the data center? It doesn’t make sense.”

The question of data center water use is best thought of as a tradeoff between water and energy. Servers produce heat, and that heat must be removed from the building. An energy-efficient way of doing so is to transfer the heat into water, some of which evaporates, but the amount of water lost to evaporation can be significant. Google’s data center in The Dalles, Oregon, is cooled in this manner. A much smaller facility than the gigawatt-scale projects being proposed today, it consumed about 469 million gallons of water in 2025, about as much as 17 golf courses .

“We’ve been told that that needs to happen this month, whether that’s true or not.”

Heat can also be ejected directly into the outside air, similar to a home air conditioner’s exhaust. This method can use very little water, but it uses more of the electricity data centers already consume in immense quantities — electricity that, depending on how it’s generated, also uses water. According to a 2024 analysis from Lawrence Berkeley National Laboratory , such “indirect” water consumption is about 12 times greater than the amount of water data centers consume on-site. For data centers like Stratos that intend to generate power on-site, this water use — and other externalities that once happened somewhere else on the grid — becomes direct and acute.

As is currently common in the industry, the Stratos developers and MIDA officials emphasized that the data center itself would use a “closed-loop cooling system” that would be filled once and reused. The county’s agreement with MIDA even specifically forbids water-intensive evaporative cooling. But the agreement also stipulates that none of these protections apply to the power plant, and it is the power plant that is listed as the primary use in the project’s applications for water rights.

Williams did not typically attend commission meetings, but when one was scheduled for the Monday after the MIDA vote, she showed up early and took a seat inside the courthouse, intending to make her displeasure known. So did around a hundred other people, more than the room could fit. They stood in the back, some holding signs, filled the hallway outside, spilled out onto the front steps.

They would not, however, get the opportunity to speak. “Public comment was held last week,” Vincent replied to a shouted question, though at that first meeting, where attendees primarily consisted of landowners the developer had personally invited, Vincent had promised a second comment period at the next meeting.

“I didn’t hear anything about it!” someone shouted.

“It was noticed,” said Vincent, banging his gavel.

The commissioners went on to question Pritchett and a MIDA official named Hilary Venable for an hour with vague results. No one could explain what percentage of the facility was for military use or even what that use would be.

Regarding the water use of the gas plant, Pritchett said they would use “new air-cooling technologies that are zero water,” or at least he was pretty sure they would — the “exact technology partnerships of the newer power technology are not totally solidified.” (“I’m hearing a lot of ‘if’s,’” someone shouted from the audience.) When Perry asked why the commission was being rushed, Pritchett replied that actually, he was being rushed too. That zero-water turbine was slated to go to another state, Morris previously said, but Utah had the chance to snag it if they moved fast. “We’ve been told that that needs to happen this month, whether that’s true or not,” Pritchett said. “That’s the reason for the rush.”

Perry’s announcement that the commissioners would postpone their vote for another week to sort through all the questions they’d received from constituents was met with cheers from the audience. Next time, Perry said, the meeting would be held at the county fairground to accommodate the apparently large public interest.

According to an August survey from Heatmap , 75 percent of Americans would oppose a data center being built near them. People feel more positively about nuclear power plants by a 20-point margin . Dislike of data centers might be the most unifying issue in America today, though it is less that everyone is in agreement, one Utah activist told me, than that data centers provide something for everyone to hate.

Some oppose data centers on environmental grounds. Others find them ugly. They are such large industrial projects that solving one problem tends to raise others: Avoid raising electricity prices by building a power plant and air pollution and noise become problems. When Pritchett tried to assuage water concerns by promising an air-cooled gas turbine, a physics professor at Utah State University, Robert Davies, did some back-of-the-envelope math and estimated that Stratos would emit enough heat to raise nighttime temperatures by up to 12 degrees, above the dewpoint, potentially creating a Sahara-like climate in the valley.

That these enormous projects often arrive with little warning only intensifies the opposition, especially because their approval generally runs through local government. Americans may distrust Congress , corporations , and the media , but a majority does still trust their local government. It’s where people still expect democracy to work. The ability of small groups of citizens to block development is so great that some see it as a national crisis; in a county like Box Elder, residents can complain to their commissioners about fairground price hikes and elicit actual policy changes.