Mark Cuban is encouraging local governments to negotiate more firmly with data center developers, stressing that towns should secure enforceable protections while they have leverage. In his recent X posts, he outlined a 10-part playbook for communities facing data center proposals. Cuban emphasizes that all major developer promises must include measurable limits, independent oversight, financial backing, and a practical remedy for breaches.
Cuban advises towns to engage their own legal and technical expertise, assess the entire project, and impose specific limits on water use, noise, backup generation, and infrastructure expenses. He urges for decommissioning funds and guarantees from reputable parent companies.
His concerns particularly highlight water use and noise emissions from cooling systems, which can create complaints among nearby residents. Cuban warned that conventional noise limits often overlook the low-frequency sounds produced by cooling equipment.
He also stresses the importance of protecting communities from stranded infrastructure costs if projects are delayed or abandoned, advocating for parent-company guarantees and upfront funds.
Cuban has previously urged communities to hold data center operators accountable for any legal violations or community damage. Public sentiment towards data centers is already negative, with a Gallup poll indicating that 71% of Americans oppose nearby data center construction. The industry’s challenges extend to public perceptions about water use and noise, impacting their viability in certain regions.